The Bank of Ghana has responded to recent media discussions regarding FinTechs and Money Transfer Operators (MTOs) in inward remittance services, stating that reports of an US$8 billion loss to the country are “misleading and not grounded on facts”.
“The assertion that the country has lost US$8 billion in the last two years based on FinTechs and MTOs withholding same at the expense of the country’s foreign currency reserves is misleading and not grounded on facts,” the Bank said.
The Bank explained that it does not license MTOs, as they are based abroad, but conducts due diligence on them when they partner with local banks and FinTechs. All remittance inflows are credited to the nostro account of partner banks, with no PSP holding any forex inflows.
“Ghana has seen a consistent increase in remittance inflows year-on-year,” the Bank said, citing World Bank data. “The Bank collects data on inward remittances from all licensed institutions and undertakes regular surveillance activities to identify any illegal operations in the remittance ecosystem.”
The Bank assured that it strictly supervises all banks and PSPs to ensure compliance with regulatory requirements, adding that the authorization of FinTechs has not complicated data collection and analysis.
“The engagement of MTOs, either by a bank or a FinTech, requires authorization from the Bank of Ghana. We diligently monitor MTOs that partner Ghanaian banks and FinTechs,” the Bank said.
