Hotels defy BoG orders; charge foreign currencies

An extensive investigation conducted by The Independent into the activities of hotels operating in Accra has revealed that some high-end hotels have been flouting directive of the Bank of Ghana (BoG) which bars hotels from quoting service charges in foreign currencies.

The directive seems to have fallen on deaf ears as these hotels, some of which are five-star in status are having a field day with non-compliance. Movenpick Ambassador Hotel, Golden Tulip Hotel, Fiesta Royale Hotel, Holiday Inn and Novotel Hotel, are a few of the hotels that are still quoting their rates in foreign currencies, particularly, the dollar.

The rates sheets of these top hotels clearly show that they openly charge their customers in US dollars. The result of the investigation showed that the practice has now become a norm in the hospitality industry.

Last June, the Governor of Bank of Ghana (BoG), Dr. Henry Kofi Wampah directed the management of Alisa Hotel to revert to compliance, when he realized, upon seeing a flyer that Alisa was still taking dollars. The episode came on the heels of Central Bank’s de-dollarisation move which is intended to give the Ghana cedi some weight as part of plans to stabilize the economy.

Speaking to The Independent, the Sales and Marketing Manager at the Golden Tulip Hotel, Bertha de Graft-Johnson, said their systems and point of sales purchases were programmed in Ghana cedis, therefore they charged in cedis, but payment was done in dollars.

“I see your main concern is that people are charging dollars. We are not charging in dollars…we are charging in cedis. But then in cases where non-residents are not able to pay in cedis and they have foreign cash, then we receive them. The main point is that we are not charging in dollars, that’s what I’m saying. We charge in (Ghana) cedis, but some non-residents decide to pay in dollars,” she clarified.

Commenting on why their (Golden Tulip) rate sheet had advertised in dollars, she pointed out that they were last year’s printout (before the regulation came into force). She could however not explain why the old printouts were still being issued to customers.

Meanwhile, the acting General Manager of Novotel hotel who only introduced himself as Mr Skoto put up a fierce defense when he was contacted by this reporter on the matter.

Why should the government of Ghana charge non-residents to pay dollars to acquire an Identity Card and turn around to ban hotels from charging their rates in dollars? he queried Efforts by The Independent to reach managements of the other hotels cited in this report provide futile.