The Bank of Ghana has refuted recent media reports alleging that newly licensed Money Transfer Operators (MTOs) and 11 Fintech companies have withheld $8 billion over the past two years.
Reports claimed that from 2018 to 2022, approximately $12 billion in remittances to Ghana went untracked and unaccounted for by both the Bank of Ghana and the Auditor General.
According to these reports, there are significant data discrepancies between the World Bank and the Bank of Ghana regarding remittance inflows.
The World Bank tracked $21.1 billion in remittances to Ghana during this period, while the Auditor General’s reports on the Bank of Ghana’s foreign exchange receipts and payments accounted for only $9.5 billion, leaving an $11.6 billion gap.
Furthermore, the reports stated that the Bank of Ghana’s 2023 annual financial statement revealed that 11 licensed Fintech companies handled inward remittance services, with remittances totaling GH¢57 billion (US$5 billion) in 2023, up from GH¢18 billion (US$3 billion) in 2022.
In response, the Bank of Ghana stated that remittance inflows to Ghana have consistently increased year-on-year, as confirmed by data from both the Bank of Ghana and the World Bank.
“The Bank of Ghana does not license MTOs since such companies are based abroad. However, the Bank conducts due diligence on MTOs who partner with local banks and/or FinTechs to deliver remittances into Ghana as part of the authorization process. Furthermore, all remittance inflows are credited to the nostro accounts of partner banks of Payment Service Providers (PSPs), and no PSP holds any forex inflows from inward remittances. The partner bank credits the local cedi accounts of PSPs for onward transfer to beneficiaries,” the Central Bank clarified.
The Central Bank dismissed the assertion that the country has lost $8 billion over the last two years due to Fintechs and MTOs withholding funds, calling it misleading and not based on facts.
Additionally, the Bank of Ghana refuted claims that Ghana operates two foreign exchange systems.
“Ghana does not operate two foreign exchange systems. Both banks and FinTechs engaged in inward remittance services regularly submit prudential returns to the Bank of Ghana as part of their regulatory obligations. Banks and FinTechs must comply with the Foreign Exchange Act, 2006 (Act 723), and other legal and regulatory requirements,” the Bank of Ghana emphasized.
