Bank of Ghana Cracks Down on Remittance Violations Amid Forex Stability Drive

The Bank of Ghana (BoG) has issued a stern warning to financial institutions and money transfer operators over persistent breaches of the country’s foreign exchange laws and remittance guidelines.

In a public notice dated July 29, 2025, the central bank said it has observed ongoing non-compliance with the Foreign Exchange Act, 2006 (Act 723), as well as the Updated Guidelines for Inward Remittance Services, despite repeated warnings.

Among the violations identified are the termination of inward remittances through unapproved channels, unauthorised foreign exchange swaps related to remittance operations, processing remittances for unapproved institutions, and the use of unprescribed foreign exchange rates.

“The Bank will impose sanctions on any institution found culpable and terminate the remittance partnerships of all money transfer operators whose activities are inconsistent with the approved guidelines,” the statement cautioned.

The BoG also emphasized the need for strict adherence to existing protocols, including the funding of local settlement accounts in line with Section 7.1 (c) of the guidelines, and disbursing all funds through these accounts as required under Section 7.2 (a). DEMIs and Enhanced Payment Service Providers (EPSPs) must ensure that their pre-funding arrangements with settlement banks comply with Section 7.2 (b).

To strengthen transparency and oversight, the Bank has mandated that all banks, DEMIs, and EPSPs submit weekly reports on each MTO. These reports must include a daily breakdown of all inward remittance transactions and details of the foreign exchange credited to their Nostro accounts.

The BoG stressed that failure to submit accurate and timely reports constitutes a regulatory infraction under Section 42 of the Payment Systems and Services Act (Act 987) and Section 93(3)(d) of the Banks and Specialised Deposit-Taking Institutions Act (Act 930), and will attract appropriate administrative penalties.

This directive signals a renewed push by the central bank to tighten regulatory oversight in the remittance and foreign exchange sectors, as part of broader efforts to ensure forex market stability and enhance economic recovery.