TapTap Send, an international remittance platform, has been suspended by the Bank of Ghana (BOG) from partnering with regulated financial institutions in Ghana for a period of one month, for violating remittance laws.
Details
In a circular from the central bank to all enhanced payment service providers (EPSPs), banks, dedicated electronic money issuers (DEMI) or mobile money operators, and the Ghana Interbank Payment and Settlement Systems (GhIPSS), the BOG stated that TapTap Send operated a “cedi remittance wallet” in violation of section 3(1) of the Foreign Exchange Act, 2006 (Act 723), and paragraph 7(b, d and e) of the Updated Guidelines for Inward Remittance Services for Payment Service Providers.
Section 3(1) of Act 723 states that “a person shall not engage in the business of dealing in foreign exchange without a license issued under this Act.”
Digging Deeper
In the Updated Guidelines for Inward Remittance Services for Payment Service Providers, paragraph 7(b) instructs banks to “credit the local settlement account of the mobile money operator and EPSPs with the Ghana Cedi equivalent of inward remittance payable to beneficiaries within 24 hour.”
Paragraph 7(d) and (e) also stipulates that that settlement bank “shall not honour any request other than for payment to beneficiaries and report any violation or suspected violation to the Bank of Ghana” and “ensure that all AML/CFT requirements are satisfied for all settlement accounts regarding inflows and outflows.”
What Happens Next
The circular, signed by Samuel Anin on behalf of the Head of Financial Markets Department, said the one-month suspension will begin from November 8, 2024.
Source:
techlabari.com
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