In a significant enforcement move, the Bank of Ghana (BoG) has suspended the foreign exchange trading license of United Bank for Africa (UBA) Ghana for one month, starting September 18, 2025.
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This action comes in response to multiple violations of the Foreign Exchange Act, 2006 (Act 723) and related remittance guidelines.
Key Reasons Behind the Suspension
The central bank’s decision was guided by Section 11(2) of the Foreign Exchange Act. BoG identified several compliance breaches, including unauthorized remittance activities conducted through UBA Ghana’s partnerships with payment service providers (PSPs) such as Halges Financial Technologies, Cellulant Ghana, and Flutterwave Inc. These interactions facilitated remittance services on behalf of money transfer operators (MTOs) including Top Connect, Send App, Taptap Send, Remit Choice, and Afriex—transactions BoG deemed impermissible under updated guidelines.
As a consequence, all remittance partnerships between UBA Ghana and these PSPs and MTOs have been suspended effective the same date, with future collaborations only possible upon reapplication and approval by the Bank of Ghana.
Impacted Stakeholders and Financial Ecosystem
Notably, the suspension affects not only UBA Ghana but also the broader network of remittance providers relying on its infrastructure. The affected MTOs and PSPs must also adhere to reapplication protocols and regulatory standards before resuming operations. This combined shutdown is likely to disrupt remittance flows, critical for diaspora transfers and inflows that support households across Ghana.
The regulator has used this occasion to remind all forex market participants—banks, digital platforms, remittance operators—of the imperative of strict compliance with both the Updated Guidelines for Inward Remittance Services by PSPs (2023) and the overarching Foreign Exchange Act.
Context: Regulatory Tightening in the Forex Sector
This latest enforcement is part of a broader initiative by the BoG to tighten oversight of Ghana’s forex and digital payments sectors. Previously, other entities in the financial industry, including Guaranty Trust Bank Ghana and FBNBank Ghana, were similarly sanctioned for forex violations.
The regulator continues to monitor these channels closely as part of efforts to uphold currency stability, compliance with international financial norms, and investor confidence.
What the Suspension Means for UBA Ghana
- Loss of Forex Trading License: UBA Ghana is barred from conducting any foreign exchange transactions for one month.
- Reapplication for Approval: At the end of the suspension, UBA Ghana and associated PSPs/MTOs must apply anew to resume operations.
- Heightened Scrutiny: Markets will watch closely for corrective actions and enhanced compliance measures from UBA Ghana following the suspension.
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Wider Implications for Digital Payments and Remittances
This enforcement underscores a growing challenge in Ghana’s financial sector: regulating rapidly expanding digital remittance services. As PSPs and MTOs flourish, regulators must ensure these channels are not exploited for illicit activities, money laundering, or unauthorized cross-border flows.
By suspending remittance activities linked to unauthorized platforms, BoG sends a clear message: Ghana will enforce its forex laws regardless of the provider’s popularity or reach.
The Bank of Ghana’s decision to suspend UBA Ghana’s forex license for one month exemplifies strict regulatory standards in action. Such enforcement measures help safeguard Ghana’s forex market integrity and enforce adherence across the ecosystem.
As the suspension term progresses, all market players will be focused on how UBA Ghana and associated firms respond—whether with greater transparency, alignment to regulatory frameworks, and renewed commitments to legal remittance practices.
