The Bank of Ghana has suspended popular remittance platform Taptap Send’s partnerships with payment service providers and commercial banks for one-month.
According to BoG, the one-month suspension which commenced from November 8, 2024 is due to the operation of a cedi remittance wallet by Taptap which is in violation of section 3(1) of the Foreign Exchange Act, 2006 (Act 723).
In a statement, the Bank of Ghana explained that Taptap Send also breached paragraph 7(b), 7(d), 7(e) of the Updated Guidelines for Inward Remittance Services for Payment Service Providers.
“Bank of Ghana has suspended Taptap Send’s partnership with all EPSP’s and commercial banks in Ghana for one-month effective November 8, 2024. This is due to the operation of a cedi remittance wallet by Taptap which is in violation of section 3(1) of the Foreign Exchange Act, 2006 (Act 723) and paragraph 7(b), 7(d), 7(e) of the Updated Guidelines for Inward Remittance Services for Payment Service Providers as outlined below:”
- Foreign Exchange Act 3(1) states “a person shall not engage in the business of dealing in foreign exchange without a licence issued under this Act.
- Paragraph 7(b) of the Updated Guidelines for Inward Remittance Services for Payment Service Providers clearly instruct partners banks to “credit the local settlement accounts of the DEMI of EPSPS with the Ghana cedi equivalent of inward remittances payable to beneficiaries within twenty-four (24) hours.”
- Finally, paragraph 7(d) and (e) of the Updated Guidelines for Inward Remittance Services for Payment Service Providers clearly stipulates that the settlement bank shall “not honour any request other than for payment to beneficiaries and report any violation or suspected violation to the Bank of Ghana” and “ensure that all AML/CFT requirements are satisfied for all settlement accounts regarding inflows and outflows,”
The Bank of Ghana warned that it will not hesitate to severely sanction any institution should any further breaches come to their notice.
“Please take note that the Bank will not hesitate to severely sanction any institution should any further breaches come to our notice.” The statement read.
Source: Elvisanokyenews.com
