| {"doc_id": "03417b05cd8942558162fc78e51180e9", "text": "The Bank of Ghana, Ghana Cocoa Board (COCOBOD) and the commercial banks have agreed to allow banks to use COCOBOD’s deposits/placements at the banks to cater for retail customers who may not want a rollover of their cocoa bills.\nThis is coming after the BoG initially directed banks not to pay customers their maturing cocoa bills investments, following cash flow challenges facing COCOBOD.\nIn a statement, the Central Bank said it expects that this short-term cash flow challenges facing COCOBOD will be resolved soon to enable the cocoa regulator meet its obligations to investors.\n“COCOBOD has assured us that the outlook for the 2023 crop season is good, and Cocoa purchasing are ahead of last year. We therefore expect that this short-term cash flow challenges facing Cocoa Board will be resolved soon to enable COCOBOD to meet its obligations to investors.”\nOn Thursday, January 19, 2023, a six-month Cocoa bill with face value of ¢940.42 million matured.\nThe Central Bank said “BoG went through the usual processes to reissue on behalf of COCOBOD a new six-month Cocoa bill to raise funds to cover the maturing obligation, but unfortunately, the auction failed and was severely undersubscribed resulting in a shortfall of¢ 855.42million”.\n“At a meeting held on Friday, 20th January 2023 among the banks, COCOBOD and Bank of Ghana, it was agreed that all institutional investors will roll over their maturing cocoa bill for Tender 6155. Financial Institutions have agreed to roll over their cocoa bills investments”, it explained.\nIt added that “cocoa bills, like the Bank of Ghana bills, were designed as instruments to be held just by financial institutions. Unfortunately, it has come to the notice of the Bank of Ghana that some Financial Institutions sold their instruments to their retail clients. To reduce the cash flow challenges on retail holders of cocoa bills, the Bank of Ghana, COCOBOD and the commercial banks have agreed to allow banks to use COCOBOD’s deposits/placements held at the various banks to cater for retail customers who may not want a rollover of their cocoa bills”.\nLatest Stories\n-\nAlleged breach of contract: Court declines Davido’s application for stay of proceedings\n-\nHe’s been a fantastic leader – Joe Wise on Osei Kyei-Mensah-Bonsu’s resignation\n-\nAvail your experience to MPs as you step down – Ato Forson urges Kyei-Mensah-Bonsu\n-\nEvent companies are folding up due to lack of corporate support – Ashis\n-\nBanks to blacklist borrowers with bad credit history\n-\nTony Tetuila hints at ‘My Car’ remix with Burna Boy\n-\nGhana could produce 492,000MT of cocoa beans in 2023/24 crop season, 27% lower than previous season\n-\nGhana Culture Forum outlines activities for 2024 culture week celebration\n-\nOsei Kyei-Mensah-Bonsu formally announces resignation as Majority Leader\n-\nRastafari Council announces keynote speaker for conference\n-\nAlarming number of youth reporting to facilities with stroke – Ghana Society of Cardiology\n-\nCocoa output for 2023/24 season drops by 40%, driving record-high prices\n-\nHenry Kanor\n-\nOsei Kyei-Mensah-Bonsu resigned voluntarily – NPP insists\n-\nParis 2024Q: ‘First leg against Zambia is a must-win’ – Nora Hauptle", "source": "cc", "stratum": "cc", "fetch_date": "", "url": "https://www.myjoyonline.com/cocoa-bills-default-bog-cocobod-agree-to-allow-banks-to-use-cocobods-deposits-to-pay-retail-customers/"} |