Regulatory Action: Why BoG Suspended UBA's Forex License
Accra ,Ghana – September 5,2025 –
Reasons Behind the Suspension
The suspension was triggered by UBA Ghana's unauthorized remittance activities with three payment service providers: Halges Financial Technologies Limited, Cellulant Limited, and Flutterwave Inc. These PSPs were acting on behalf of five money transfer operators: Top Connect, Send App, Taptap Send, Remit Choice, and Afriex. The Bank of Ghana found that UBA Ghana breached the Updated Guidelines for Inward Remittance Services by Payment Service Providers, 2023, as amended by Bank of Ghana Notice No. BG/GOV/SEC/2025/25.
Key Implications
- Suspension of Remittance Partnerships: All remittance partnerships between UBA Ghana and digital electronic money issuers, payment service providers, or money transfer operators have been suspended.
- Re-Application Requirement: Any DEMIs/PSPs/MTOs wishing to work with UBA Ghana in the future must re-apply after the suspension period.
- Warning to Forex Market Players: The Bank of Ghana has cautioned foreign exchange market players to adhere strictly to applicable forex market regulations and guidelines.
Context and Impact
This suspension is part of the Bank of Ghana's efforts to tighten supervision of forex market operations and inward remittance services across the financial sector. The decision aims to enforce discipline in the country's $4 billion annual remittances market, a crucial source of foreign exchange. Ghana has been battling persistent pressure on its cedi currency, prompting the central bank to intensify monitoring of foreign exchange activities.
Conclusion
The suspension of UBA Ghana's forex license serves as a warning to other financial institutions to comply with regulations. The Bank of Ghana's actions demonstrate its commitment to maintaining the integrity of the foreign exchange market and protecting the economy.
Source – Lead News Online/Emmanuel Kofi Ahadzi
