The Bank of Ghana (BoG) will partner with commercial banks to create investment-linked remittance products. This initiative aims to channel a larger share of money sent home by Ghanaians abroad into business expansion, infrastructure projects, and long-term capital. Dr. Johnson Pandit Asiama, Governor of the BoG, confirmed this strategy.
This effort is part of the central bank's broader plan to use stronger economic conditions and a healthier banking sector to support economic activity. It also seeks to deepen Ghana's financial markets. The BoG will work with banking industry experts and other stakeholders to transform remittance inflows into investments rather than immediate consumption.
This new focus aligns with strengthening economic conditions in Ghana. The country recorded a current account surplus of US$3.1 billion in the first quarter of 2026. Strong exports of gold and cocoa, alongside steady remittance inflows, supported this surplus. Gross International Reserves climbed to US$14.4 billion, enough to cover 5.7 months of imports. This provides a stronger buffer against external shocks.
Governor Asiama stated, “By creating innovative investment-linked remittance products, we can mobilise a larger share of these flows toward business expansion, infrastructure development and long-term capital formation.” He highlighted that these efforts would deepen financial markets, strengthen economic resilience, and support sustainable growth. The central bank recently kept the policy rate at 14 percent. This decision aimed to maintain stable prices while supporting economic recovery and private-sector credit growth. Headline inflation rose slightly to 3.7 percent in May from 3.2 percent in March. However, core inflation continued to fall, indicating that underlying price pressures remain controlled.
The central bank is also encouraging banks to increase their support for productive sectors of the economy. Dr. Asiama urged lenders to focus on their main role of providing financial services. He wants them to direct more capital to manufacturing, agriculture, services, and export-focused businesses. He added that the long-term health of the financial system depends on a strong real economy. A strong real economy creates demand for loans, jobs, and sustainable growth.
Banks should take advantage of falling interest rates and a more stable economy. They need to develop new financial products for households and businesses. Dr. Asiama also called for banks to expand their role beyond just lending money. They should offer business advice, support new businesses, and help companies reach new markets. He suggested banks create export support initiatives leveraging their connections with parent companies or partners in other countries.
Economic activity has increased significantly, according to the Bank of Ghana. The Composite Index of Economic Activity grew by 12.6 percent in March. This is much higher than the 2.3 percent growth seen in the same period last year. Stronger private-sector credit, industrial production, trade, and consumer spending fueled this growth. Fiscal conditions also improved, with Ghana posting a fiscal surplus of 0.1 percent of its Gross Domestic Product in the first quarter. This surpassed earlier expectations, thanks to careful spending and strict financial management.
Ghana's banking sector shows signs of improvement amid the economic recovery. Total industry assets grew by 26.6 percent year-on-year to GHS 493.9 billion. The Capital Adequacy Ratio, which measures a bank's financial strength, increased to 22.3 percent from 17.5 percent a year ago. The non-performing loan ratio, representing bad loans, decreased to 18.0 percent from 23.6 percent, signifying better loan quality. However, Dr. Asiama warned that high credit risks remain a concern. He pushed banks to strengthen how they assess loan applications and recover overdue payments, while also following regulatory rules.