Governor Dr Joshn Asiama has told CEOs of banks that the Bank of Ghana continues to observe increased incidences of dud cheques and instances of non-compliance.
A dud cheque is a cheque that has no value because the person who has written it does not have enough money in their bank account to pay it.
He says banks are therefore encouraged to properly utilise approved overdraft facilities or available funds in linked accounts, where permitted under existing arrangements, before returning cheques unpaid.
Banks are further urged to strengthen their monitoring mechanism and intensify customer engagement and education to improve compliance, reduce repeat offences, and promote confidence in the use of cheques as a payment instrument, he said.
Dr Asiama said this when he met the CEOs of the banks in Accra on Wednesday, August 12.
The other area he spoke about was that the Bank of Ghana has intensified efforts to address the growing incidence of unlicensed digital lending activities.
As part of these efforts, he said the Bank has commenced the weekly publication of entities identified as providing digital credit services without the requisite approval from the Bank of Ghana. Relevant law enforcement and regulatory agencies are also taking further action to facilitate the removal of non-compliant operators from the market. Banks are encouraged to exercise heightened due diligence when engaging Digital Credit Service Providers (DCSPs) and should verify the licensing status of such entities with the Bank of Ghana before establishing any partnership or business relationship.
“Third, the Bank of Ghana recently conducted a survey of diaspora investment products across the banking industry. The findings broadly indicate that banks currently do not have dedicated, off-the-shelf investment products specifically designed to meet the needs of the Ghanaian diaspora. As a result, remittances continue to flow largely through basic transfer channels, rather than being channelled into structured savings products, bonds, or other investment vehicles. Bridging this gap will require coordinated efforts and collaboration among key stakeholders. I want to urge banks to take advantage of the significant potential within the remittance space by broadening their offerings beyond traditional transfer services to include bank-led investment products, mobile money solutions, and digital remittance platforms.”
He added “This presents an opportunity to deepen financial intermediation and mobilise diaspora funds for productive investment in the Ghanaian economy. The Bank of Ghana remains committed to working with relevant stakeholders to develop a national remittance strategy aimed at enhancing remittance flows into the economy and ensuring that a greater proportion of these inflows are channelled towards savings, investment, and broader economic development.”
