In 2023, Ghana's remittance sector demonstrated its significant economic potential by contributing over $4.6 billion, a figure that dwarfs the $649 million received from foreign direct investments (FDIs) during the same period. Mawutor Abraham, Director of Taptap Send Africa, emphasized the importance of prioritizing remittances over FDIs, noting that remittances are easier to attract as they depend on the support of Ghanaians living abroad [cf9ea9bd].
Abraham called for the Ghanaian government to create a more favorable regulatory environment for remittance firms to enhance their operations. This comes in light of Taptap Send's recent resumption of services in Ghana after a month-long suspension due to regulatory issues, during which the company incurred losses exceeding $100 million in transactional value. Taptap Send processes approximately $100 million in transfers monthly, highlighting the substantial volume of remittances flowing into the country [cf9ea9bd].
The Central Bank of Ghana has been urged to recognize the potential of remittances as a critical component of the national economy. By fostering a supportive framework for money transfer services, the government can tap into this vital source of income that supports many households across the nation [cf9ea9bd].
As Ghana continues to navigate its economic landscape, the focus on remittances could play a crucial role in driving growth and development, particularly in comparison to traditional foreign investments. The resilience of Ghanaians abroad and their willingness to support families back home underscores the importance of this sector in the broader economic context [cf9ea9bd].
