Bank of Ghana debunks claims of Ghana becoming a dual currency state

Ghanaian

The Bank of Ghana (BoG) has addressed inconsistencies and misinformation in an article titled "Is Ghana Becoming a Dual Currency State? The Rise of Yellow Currency!"

The article suggested that electronic money was overshadowing the Ghanaian cedi, prompting a need for strategic measures to protect the cedi's relevance.

In a statement released on Thursday, May 30, the

Read full articleBoG's Communications Department clarified that since 2007, Ghana has adopted a bank-based model for mobile money, unlike other regions that use a telco-based model. The BoG emphasised that all mobile money services in Ghana are supported by banks and fintechs, with transactions conducted in cedis.

The BoG highlighted that the author of the article had mistaken the telco-based model for Ghana's bank-based system. These financial services, managed by the Ghana Interbank Payments and Settlement Systems (GhIPSS)—a BoG subsidiary—are less visible to the public, differentiating Ghana from telco-based jurisdictions.

"n fact, Ghana is among the few countries that have full interoperability between mobile money wallets and bank accounts and are fully backed by cash floats at corresponding commercial banks, without which settlement won’t happen. Other jurisdictions are now trying to establish such interoperability," the statement read.

The BoG reassured the public of its ongoing commitment to monitoring the financial ecosystem to maintain stability while promoting financial inclusion and flexibility.