GoldBod Tightens Financing Rules for Licensed Gold Buyers to Safeguard Public Funds

The Ghana Gold Board (GoldBod) has unveiled a comprehensive regulatory framework governing access to its trade financing programme, introducing stricter eligibility, compliance and risk management requirements for Tier 2 licensed gold buyers in a move aimed at strengthening oversight of Ghana’s formal gold trading sector.

The directive, issued by GoldBod’s Compliance Directorate and effective immediately, establishes mandatory procedures that all eligible licensed buyers must satisfy before accessing gold purchase financing through approved aggregators.

The new framework comes as Ghana intensifies efforts to formalise the gold value chain, improve accountability in gold purchases and protect public resources deployed under the state’s trade financing programme.

Under the revised guidelines, prospective beneficiaries must submit a formal application through an approved aggregator, undergo licence verification, complete Know-Your-Customer (KYC) and due diligence processes, and execute a trade financing agreement before any financing can be approved.

A central feature of the new regime is the requirement for participating buyers to provide financial security, including a bank guarantee, advance payment guarantee, insurance bond or any other security acceptable to GoldBod. The value of the security will range between 10% and 50% of the approved financing amount, depending on the buyer’s creditworthiness as assessed by the aggregator and approved by GoldBod.

The financing agreement will also define repayment obligations, reporting requirements, compliance standards, default provisions and other operational conditions governing the utilisation of trade funds.

Existing participants given August deadline

GoldBod has directed all licensed buyers currently benefiting from its trade financing programme to regularise their participation under the new framework.

Existing beneficiaries are required to settle all outstanding trade financing obligations and close their current financing accounts with aggregators on or before August 1, 2026.

Failure to comply will result in their removal from the list of eligible Tier 2 licensed buyers until all outstanding obligations have been fully settled.

The Board further outlined a graduated recovery process for defaulters. Participants who fail to repay outstanding amounts after receiving a 21-day demand notice risk suspension of their GoldBod Buyer Licence. Continued default beyond a final 30-day demand notice could trigger criminal proceedings.

Tougher compliance standards

GoldBod stressed that participation in the programme remains subject to continuous compliance with the Ghana Gold Board Act, 2025 (Act 1140), all regulatory directives issued by the Board and the maintenance of satisfactory credit standing.

The regulator also reserved the right to review participants’ trading performance, repayment history and compliance records at any time, with powers to suspend, restrict or withdraw financing where necessary to protect public funds and maintain prudent risk management.

New funding restrictions

To prevent excessive leverage and strengthen transparency within the financing chain, GoldBod has introduced new restrictions on the movement of trade funds.

A Tier 2 licensed buyer already benefiting from GoldBod financing will no longer be permitted to obtain additional financing directly or indirectly from another funded Tier 2 licensed buyer operating under the programme.

In addition, Tier 1 licensed buyers will be restricted from receiving GoldBod trade financing from more than three funded Tier 2 licensed buyers at any one time.

GoldBod warned that any arrangement found to contravene these requirements may result in the suspension or withdrawal of financing approvals and other regulatory sanctions.

The latest reforms underscore GoldBod’s broader strategy to tighten governance across Ghana’s gold trading industry, improve financial discipline among licensed buyers and ensure that state-backed trade financing supports a transparent, accountable and sustainable gold market.