As the Bank of Ghana (BoG) struggles to effectively track and capture the country’s remittance flows, there seems to be hope in sight as Banking and Financial Consultant, Dr. Richmond Atuahene, has recommended a set of solutions to the Central Bank to address the situation
Despite the far-reaching positive impact of remittances on Ghana’s economy, Dr. Atuahene has observed that the Central Bank is still struggling to effectively capture the flows in its balance of payments.
Dr. Richmond Atuahene, in a policy recommendation copied to The High Street Journal, is calling on the Bank of Ghana (BoG) to implement a bold set of reforms aimed at plugging the loopholes in the country’s remittance tracking systems.
The Challenge
The veteran banker with expertise in remittances has observed that the BoG is faced with inadequate data collection and tracking mechanisms. Dr. Atuahene says the current Balance of Payments (BoP) framework used by the BoG does not fully capture the volume and value of remittances flowing into the country. This is largely due to the absence of a centralized, real-time tracking system that integrates banks, money transfer operators (MTOs), Fintech companies, and other electronic payment service providers (EPSPs).
As a result, significant portions of remittance inflows go unrecorded, undermining the accuracy of foreign exchange data and fiscal planning.
He further reveals that there is widespread non-compliance with existing regulations such as the Foreign Exchange Act 2006 (Act 723) and the Payment Systems and Services Act 2019 (Act 987). Over the past five years, some banks, DEMIs, EPSPs, and MTOs have externalized inward remittances, restricting the supply of foreign exchange to the local market and contributing to the depreciation of the cedi.
This lack of enforcement and oversight has not only weakened the local currency but also affected foreign exchange reserves, government debt repayments, and the overall stability of the economy.
Recognizing these challenges, the banking consultant is making four major recommendations to the Central Bank for adoption to deal with the challenge.
A Centralized B2B Software to Track Remittance Flows
At the heart of his four-point policy recommendation is a centralized B2B software solution that would give BoG real-time visibility into all remittance transactions handled by banks, Money Transfer Operators (MTOs), Dedicated Electronic Money Issuers (DEMIs), Electronic Payment Service Providers (EPSPs), and Fintech companies.
Dr. Atuahene argues that such a platform is urgently needed to trace, capture, and compile inward remittance flows with precision, given their growing impact on the local economy.
He points to examples in Sri Lanka, Bangladesh, and Pakistan, where centralized remittance tracking systems have enabled authorities to capture 85%–90% of inward flows. These platforms, he says, have helped the countries shield their currencies against external shocks and trade imbalances by maximizing foreign currency inflows.
“Bank of Ghana must have centralized software (B2B software for MSBs) that offers a comprehensive solution for all the banks, DEMIs, EPSPs, and MTOs to instantly track, trace and capture payments from customers globally, utilizing cutting-edge technology and card acquiring to transform payment collection internationally,” Dr. Atuahene recommended.
Forensic Audits of Banks and Remittance Operators
Beyond the software, Dr. Atuahene is recommending a comprehensive forensic audit of remittance flows handled by banks, MTOs, DEMIs, EPSPs, and Fintechs from 2019 to 2025.
He calls on the BoG to commission external audit firms to scrutinize the foreign currency transactions conducted through Nostro accounts, citing previous breaches of the Foreign Exchange Act, 2006 (Act 723).
These lapses, he argues, have contributed to the persistent depreciation of the cedi in recent years.
He said the BoG must “commission external audit firms to conduct forensic audit on the MTOs and Fintech companies’ Nostro accounts that are benefiting from foreign currencies as against the Foreign Exchange Act 2006, Act 723. Banks are recognized as the main providers of international remittance services in Ghana in the Foreign Exchange Act 2006 (Act 723).”
Recognition of Remittances as a Long-Term Economic Feature
Moreover, the banking consultant urges the Bank of Ghana, the Ministry of Finance, and the Ministry of Foreign Affairs and Regional Integration, working in partnership with international development agencies like the World Bank, to determine whether remittance flows should be treated as a permanent feature of Ghana’s balance of payments.
He believes that Ghana must draw lessons from countries like Bangladesh, El Salvador, and Jordan, which have successfully integrated remittance flows into national economic planning.
Conducting a nationwide survey on labor migration and remittance trends, he says, is an essential starting point for developing a long-term strategy.
Naming, Shaming, and Prosecuting Offenders
Dr. Atuahene’s last proposal to address the menace is that the BoG must begin to intensify efforts to name, shame, and prosecute defaulting financial institutions and MTOs that have consistently violated the law.
He argues that transparency and accountability are non-negotiable if Ghana wants to maximize the economic value of its diaspora inflows.
Failure to act decisively, he says, will only erode trust, deplete foreign exchange reserves, widen balance of payment deficits, and risk defaults on external debt.
The Bottomline
As Ghana continues to enjoy strong remittance inflows, even amidst a stronger cedi, Dr. Atuahene’s recommendations may offer the central bank a critical roadmap to ensure that every dollar sent home is properly recorded, monitored, and harnessed to support economic recovery and growth.
