BoG: Remittances key to Ghana’s FX growth

Remittance inflows have become a vital source of foreign exchange for Ghana, according to Dr. Zakari Mumuni, First Deputy Governor of the Bank of Ghana (BoG).

Speaking at the 2025 Ghana Diaspora Investment Forum in Accra, he emphasized the need for a strong financial sector to mobilize diaspora capital and support national development.

Dr. Mumuni noted that the BoG has implemented comprehensive reforms to ensure financial stability, strengthen regulation, and foster ethical practices within the banking industry. These measures include enhancing supervisory frameworks, promoting digital innovation, and launching directives to bolster cyber and information security.

He added that sustainable banking principles have been introduced to align financial activities with environmental and social responsibility, ultimately benefiting vulnerable communities and the economy at large.

Commenting on the current state of the financial sector, he stated, “Despite concerns over asset quality, the banking sector remains resilient with strong asset growth and improved soundness indicators.”

To address the high rate of Non-Performing Loans (NPLs), the BoG plans to roll out new directives. These include enforcing loan write-offs for unrecoverable debts, tightening restructuring rules, expediting collateral recovery, and strengthening credit risk governance across regulated institutions.

On remittances, Dr. Mumuni highlighted their growing importance in building Ghana’s FX reserves. He said upcoming reforms to foreign exchange rules on remittance transactions will help reduce costs, speed up service delivery, and enhance transparency. These changes aim to encourage more funds from Ghanaians abroad and support the country’s development.

“The Bank will continue to develop diaspora-focused financial products to support settlement and investment,” he added.