Bank of Ghana Bans Payment Service Providers from Holding Merchant Funds in Major Regulatory Shakeup

Introduction

The Bank of Ghana (BoG) has introduced a sweeping regulatory change, barring Payment Service Providers (PSPs) from holding merchant funds, a move designed to enhance financial sector stability and protect consumer deposits. The directive comes alongside the central bank’s release of an updated, verified list of 46 approved Money Transfer Operators (MTOs) authorized to facilitate remittances into the country.

This latest regulatory enforcement marks a significant tightening of compliance standards within Ghana’s rapidly evolving fintech and digital payments ecosystem. Industry stakeholders are now rushing to realign their operations with the central bank’s stringent oversight frameworks.

Key Takeaways

• Payment Service Providers are no longer permitted to retain merchant funds under the new central bank directive.
• The Bank of Ghana officially published a comprehensive list of 46 approved Money Transfer Operators for secure remittances.
• The regulatory update aims to bolster transparency, safeguard merchant capital, and mitigate systemic risks in the digital financial space.