Oil marketing companies get set for re-denomination exercise

Accra, June 29, GNA - The Association of Oil Marketing Companies in Ghana on Thursday announced that most OMCs have acquired new working tools and have carried out vigorous in-house training for all of its staff in preparation for the commencement of the re-denomination exercise, which comes off from July 3.
     Mr Yaw Agyeman Duah, OMC Board Chairman, told the Ghana News Agency in an interview that the OMCs had adjusted their price tags and displayed at strategic location at all filling stations fuel prices in both new and old currencies.
     He said the OMC had organised educational training on the re-denomination at various locations in the country aimed at complementing the efforts of the Bank of Ghana, to remove all bottlenecks in the introduction of the new Ghana cedi, to ensure a smooth transition from the use of the old to the new Ghana cedi.
     Mr Agyeman Duah explained that the staff training and interaction exercises formed part of the OMCs social responsibility towards educating the filling station attendants on the exercise.
     He said since the Central Bank announced its intention to introduce new sets of notes and coins into the system to replace the old ones, individuals and institutions throughout the country had expressed varying degrees of worry over it ramifications on members of the public.Mr Agyeman Duah appealed to the motoring public to cooperate with OMC staff at the filling stations during the period to ensure the success of the exercise.
     Speaking at the last of a series of training seminars for staff of OMCs in Accra, Mr Fiifi Blankson, Deputy Governor, Bank of Ghana, explained that the re-denomination was necessary to address the risk of carrying huge sacks of money to the banks and also increase the efficiency in payments systems, with particular reference to Automated Teller Machines (ATMs).
     He noted that the exercise would help simplify accounting records and ease expressions in monetary values, which would be of benefit to the banks and customers.
     "The cost of producing bank notes will reduce and also increase the efficiency of its production," he added.
     Mr Blankson reminded the OMCs that from July 3 the new Ghana cedi would be in circulation with the old ones for a period of 6 months and would involve a gradual withdrawal of the current notes from circulation.
     He explained that the old currency would not be legal tender and no longer be in the use for the purpose of buying goods and services after the 6 months period.
     He indicated that cheques received through clearing after July 1, would be converted and debited into the customers account in the new Ghana cedi.
     "Similarly cheques written prior to July 1 in old currency will be converted to the new currency before payments," he added
     He noted that all approved loans and overdrafts which might not have been fully approved before July 1 would be converted and disbursed in the new Ghana cedi.
     Mr Blankson said account balance, interest and other levies as at June 30 would be converted into the new Ghana cedi.
     Oil marketing officials from Total Ghana Limited, Ghana Oil Company, Top Oil, Agapet, Thread Cross, Star Oil, Galax Oil, Dukes, Excel Oil, Manbah Gas Oil, Masona Oil Company, Kabby and Sons, Allied Oil, OJK Oil, Chase Oil and Oando attended the seminar.