CAGD Warns Covered Entities Against Unauthorised Opening of Bank Accounts

The Controller and Accountant-General’s Department (CAGD) has cautioned all Covered Entities against opening bank accounts with commercial banks without obtaining prior written approval.

In a circular dated August 17, 2026, and signed by the Controller and Accountant-General, Kwasi Agyei, the Department said it has observed that some Covered Entities open bank accounts with Commercial Banks without obtaining the prior written approval of the Controller and Accountant-General.

The Department stated that the practice infringes upon Section 51(1) of the Public Financial Management Act, 2016 (Act 921), which grants the Controller and Accountant-General the sole authority to approve the opening of bank accounts for all Covered Entities.

“To address this issue, all Covered Entities are hereby directed to ensure full compliance with the law by obtaining the prior written approval of the Controller and Accountant-General before opening any bank account with the Bank of Ghana or any Commercial Bank,” the circular stated.

The CAGD warned that failure to comply with the directive shall result in the closure of any bank accounts opened without the requisite approval, and all funds held in such accounts shall be transferred into the Consolidated Fund.

“Furthermore, the Controller and Accountant-General’s Department shall enforce appropriate sanctions, in accordance with the provisions of the Public Financial Management Act and other applicable laws and regulations, against any Covered Entity that fails to comply with this directive,” it added.

Click to read more: https://opemsuo.com/author/hajara-fuseini/