A disturbing trend has emerged in Damongo, the Savannah regional capital, where some traders, particularly provision store owners, are refusing to accept certain denominations of Ghanaian coins, including the 20 pesewas coin, as a form of payment for goods and services. The reasons behind this decision are unclear, but the implications are far-reaching and potentially disastrous for the local economy.
This development came to the attention of Spear FM, a Damongo-based radio station, after several residents complained about the issue.
According to the Currency Act, 1964 (Act 242), the Ghanaian cedi is the official currency, and all denominations, including coins and notes, are legal tender for payment of any debt, public or private. This means that no business can refuse to accept any denomination of the Ghanaian currency as payment for goods and services. The law does not specify any particular denomination or amount that can be refused.
Traders who refuse to accept legal tender risk facing sanctions, including fines and prosecution. The Bank of Ghana, the central bank responsible for maintaining the stability of the financial system, has warned that rejecting legal tender can disrupt economic stability and lead to unintended consequences. The police can prosecute individuals who refuse to accept legal tender under the Currency Act.
Residents who encounter traders refusing to accept legal tender can report such incidents to the police or the Bank of Ghana. The authorities will take swift action to address the situation and ensure that businesses comply with the law.
We urge all stakeholders, including the Bank of Ghana, traders, and residents, to work together to address this issue. Traders should accept all denominations of the Ghanaian currency as payment for goods and services, while residents should report any incidents of refusal to the authorities. The Bank of Ghana and other regulatory bodies should intensify public education on the importance of accepting legal tender and take enforcement action against non-compliant businesses.
By working together, we can maintain the integrity of our financial system, protect the rights of consumers, and ensure that businesses operate fairly and transparently. Let us join forces to promote a cash-based economy that is inclusive and efficient for all Ghanaians.
Damongo Traders Refusing Coins: A Growing Concern for Residents
