The Head of TapTap Send Africa, Daryl Mawutor Abraham, is calling for a more collaborative and friendly regulatory environment to enable Africa-focused money transfer operators (MTOs) to maximize the flow of remittances from the diaspora into Ghana.
His appeal follows a one-month suspension imposed by the Bank of Ghana (BoG) on TapTap Send for operating a cedi-based wallet abroad without prior approval. While the BoG cited the action as a violation of Ghana’s banking and forex laws, the suspension has since been lifted, and TapTap Send resumed operations in Ghana on December 4, 2024.
Speaking to journalists, Mawutor Abraham clarified that the cedi wallet in question was “strictly for Ghanaians living abroad to hold Ghana cedis for transfers to Ghana.” He compared it to how Ghanaian banks allow customers to hold dollar accounts without requiring permission from US regulators.
Mawutor Abraham noted that the suspension had significant financial implications, estimating that no remittances—amounting to approximately US$100 million—flowed through TapTap Send during November.
“Some customers chose alternative services, but others held back because they trust no other platform but TapTap Send. This means Ghana also lost valuable remittance inflows during this period,” he said.
He believes such sanctions could be avoided through better engagement and understanding between regulators and MTOs, fostering an environment that protects genuine remittance flows without unnecessary disruptions.
“This is one of the areas I think we need a more friendly regulatory environment – better engagement for better understanding to prevent an adverse impact on genuine remittance flow into the country,” he emphasized.
Regulatory Hurdles and MTO Contributions
Mawutor Abraham also questioned Ghana’s requirement for newly licensed MTOs to have three years of operational experience, stating that such a regulation is “not standard practice anywhere else.”
Highlighting the critical role of remittances, he revealed that approximately US$5 billion flows into the Ghanaian economy annually, directly supporting families, projects, education, healthcare, fintechs, and content creators.
“TapTap Send alone is responsible for over a quarter of this figure—around US$1.5 billion annually—far exceeding the foreign direct investment (FDI) Ghana recorded in recent years.”
In 2023, Ghana recorded US$663 million in FDI, and projections for 2024 stand at US$326 million, both of which pale in comparison to remittance inflows.
Mawutor Abraham urged Ghana’s regulators and government to appreciate the significant economic contributions of MTOs like TapTap Send.
“No matter which party is in government, what’s important is for them to hold money transfer companies in high esteem, because we bring in far more money to help the economy than FDIs,” he stressed.
While the cedi wallet has since been withdrawn, Mawutor Abraham confirmed that TapTap Send is working closely with the Bank of Ghana to ensure compliance before reintroducing the service.
TapTap Sanbra Promo and Charity Initiatives
To re-engage customers following the suspension, TapTap Send has launched the TapTap Sanbra Promo. Under the initiative, customers in the diaspora stand a chance to win return air tickets and cash prizes when they send money via TapTap Send, while recipients in Ghana can also win cash prizes.
Additionally, the company has introduced a charity package that pledges to match every dollar sent to qualifying charities in Ghana, with a commitment of up to GHS 1 million per charity.
TapTap Send continues to play a vital role in supporting Ghana’s digital economy. It provides revenue streams for fintechs, supports over 40 content creators in Ghana, and offers a platform for diaspora Ghanaians to connect and access social, medical, and legal support.