Bank of Ghana Introduces New Foreign Exchange Reference Rate Methodology
New Methodology Aligns with IOSCO Principles, Enhances Transparency
Accra, Ghana – The Bank of Ghana (BoG) has introduced a new methodology for calculating the Foreign Exchange Market Reference Rate (MRR), aligning with International Organization of Securities Commissions (IOSCO) Principles of Financial Benchmarks.
The upgraded approach expands data coverage by incorporating daily transactions between commercial banks and their clients, ensuring a more accurate reflection of market conditions. This move aims to enhance transparency and accountability in Ghana’s financial markets.
According to the BoG, the new methodology “seeks to broaden the data coverage and reflect daily transactions executed between commercial banks and their clients.” The central bank will now collect data on all spot US$/GH¢ transactions executed before 3:30 p.m. each working day, including interbank transactions and client deals with nominal values of US$10,000 or more.
The submitted data will be used to compute the weighted median exchange rate, which will be published as the official closing rate for the day on the BoG website.
Quote: “The new methodology seeks to broaden the data coverage and reflect daily transactions executed between commercial banks and their clients.” – Bank of Ghana statement
