By Juliet ETEFE ([email protected] )
The Bank of Ghana (BoG) has initiated an audit of remittance transactions for the fourth quarter of 2024, covering the period from October 1 to December 31, 2024.
The bank’s latest economic data show total remittances reached US$6.65billion by year-end, significantly outpacing the US$1.73billion in foreign direct investment received during the same period.
The central bank aims to assess the remittance process, ensure compliance with regulatory requirements and provide recommendations for strengtheninmg the existing regulatory framework.
“In addition, the audit will evaluate compliance with all applicable regulations – including the Foreign Exchange Act 2006, Act (723); the Updated Guidelines for Remittances; the Payment Services Act 2019 (Act 987); and the Anti-Money Laundering/Combatting the Financing of Terrorism (AML/CFT) Guidelines,” it stated.
The exercise forms part of broader central bank efforts to promote transparency and enhance efficiency in the country’s remittance ecosystem. By addressing gaps and reinforcing compliance, the Bank of Ghana will safeguard the country’s financial system from illicit financial activities such as money laundering.
This initiative also aligns with earlier calls from experts, including banking consultant Dr. Richmond Akwasi Atuahene, for increased scrutiny of fintech companies operating within Ghana’s remittance sector.
These concerns stem from discrepancies in reported figures and potential impact on the country’s foreign exchange reserves.
Remittances play a critical role in the country’s economy, serving as a major source of foreign exchange inflows. As such, ensuring that remittance transactions are conducted in a compliant and secure manner remains a priority for financial regulators.
The BoG has urged all stakeholders to ensure full compliance with regulatory requirements to maintain a stable and resilient remittance environment.
“All market participants are reminded of their obligation to comply fully with these regulatory requirements. Strengthening adherence to these guidelines will enhance the remittance ecosystem, promote transparency, mitigate AML/CFT risks and contribute to overall deepening of the foreign exchange market,” the statement concluded.
