Cedi fall: Check operations of Fintech companies holding remittances – Dr. Atuahene to government

Banking Consultant, Dr. Richmond Atuahene says the short-term measure to curb the fast depreciation of Ghana’s cedi is to revisit the laws that mandate some Fintech companies holding remittances to Ghanaians.

The dollar to Ghana’s cedi rate is hitting above GH¢15 as of May 22, 2024.

Several financial analysts have projected that the Ghanaian will hit between GH¢16 to GH¢18 to the dollar.

Currency Analyst, Collins Appiah has stated that the government will not sit aloof for the Ghanaian cedi to hit GH¢18 to the US dollar.

“I am not sure the government will allow that to happen, they will not allow it because as an analyst, trust me we are in an election year. The government will want to do whatever they can to maintain some level of stability to able to go in to the elections,” he added.

However, speaking on the Morning Starr with Francis Abban, the banking consultant indicated that the government must relook at the laws that allow some Fintech companies to hold foreign currencies from hitting the country’s balance sheet.

“According to the World Bank, in 2022 we received 4.7 billion dollars it will shock you to know that what came into the balance sheet of Bank of Ghana Government was 2.6 billion dollars. The difference between the two has gone into some Fintech Companies or some companies that were licensed in 2019 under the Service and Payment Act 9,8,7. License of Fintechs who are not actually allowing the foreign exchange to hit the country’s balance sheet.

“As you sit your wallet is credited but nobody is tracking the dollar or Euro etc that was used. Nobody seems to be tracking it falls in the hands of some companies I know them. I don’t want to mention their names. It falls into their hands and these monies do not come to Ghana,” Dr. Atuahene stated.