BoG Governor urges banks to develop innovative diaspora investment products

Dr Johnson Pandit Asiama, Governor of the Bank of Ghana (BoG), urged commercial banks to develop products that channel diaspora remittances into savings and investment at a meeting with chief executive officers and heads of banks. He stated that remittances continued to flow mainly through basic transfer channels, limiting their conversion into structured savings products, bonds, and other investment vehicles. A recent BoG survey of diaspora investment products showed that banks lacked dedicated, off-the-shelf products specifically designed to meet the needs of Ghanaians living abroad.

Dr Asiama encouraged banks to use mobile money solutions and digital remittance platforms to make it easier for Ghanaians abroad to save and invest in Ghana. The BoG is working with relevant stakeholders to develop a national remittance strategy aimed at enhancing remittance flows and ensuring that a greater proportion supported savings, investment, and broader economic development. He also urged banks to increase financing for small and medium-sized enterprises (SMEs), particularly those operating along the agricultural value chain, and to develop flexible credit products that reflected the seasonal nature of agricultural production. Loan repayment schedules, he said, should be aligned with the timing and pattern of borrowers' cash flows.