Ghanaian commercial banks currently lack dedicated investment products for citizens living abroad, according to a recent Bank of Ghana survey. Governor Dr. Johnson Pandit Asiama stated this finding at the Heads of Banks Meeting on Wednesday, August 12. This absence means remittances primarily flow through basic transfer channels, rather than being converted into long-term savings and investments.
The central bank is now urging financial institutions to develop specific offerings for the Ghanaian diaspora. Dr. Asiama highlighted that this oversight reduces the broader development impact of remittances. While remittances already support household consumption, education, healthcare, and small businesses, their potential for capital formation remains largely untapped.
This policy shift is crucial for Ghana's economic recovery and stability. The nation is rebuilding its financial buffers after a sovereign debt crisis and restructuring. Policymakers are actively seeking deeper domestic capital markets, stronger foreign-exchange reserves, and more stable funding sources. Diaspora capital, unlike volatile portfolio inflows, offers a more persistent and reliable funding stream due to its roots in family and social relationships.
“The findings broadly indicate that banks currently do not have dedicated off-the-shelf investment products, products specifically designed to meet the needs of the Ghanaian diaspora,” Dr. Asiama said. He added, “As a result, remittances continue to flow largely through basic transfer channels rather than being channeled into structured savings products, bonds, or other investment vehicles.” The Governor stressed that banks must view diaspora customers as potential long-term investors, not just as senders of money.
The Bank of Ghana is proposing a coordinated national approach to address this gap. This strategy aims to enhance remittance flows and ensure a greater proportion is directed towards savings, investment, and broader economic development. Such a framework could reinforce Ghana's financial buffers, which have seen improvements with a widened trade surplus of US$8.80 billion in the first half of 2026 and gross international reserves reaching US$12.90 billion by the end of June, equivalent to five months of import cover.
For banks, this presents a significant opportunity beyond just deposits. Diaspora-focused products could include foreign-currency savings vehicles, investment funds, mortgage products, pension instruments, and government and corporate securities. These products would need to be digitally accessible, allowing Ghanaians in cities like London, Toronto, New York, or Frankfurt to easily open, fund, and monitor their investments.
The challenge for banks will be to build credibility and compete effectively. Diaspora investors have access to global investment opportunities and will compare Ghanaian financial products based on returns, transparency, ease of access, and confidence in the financial system. Therefore, Ghanaian banks must offer competitive and trustworthy options to attract and retain these valuable funds.
“I want to urge banks to take advantage of the significant potential within the remittance space by broadening their offerings beyond traditional transfer services to include bank-led investment products, mobile money solutions, and digital remittance platforms,” Dr. Asiama stated. This move is expected to deepen financial intermediation and mobilize diaspora funds for productive investment in the Ghanaian economy, contributing to long-term growth and stability.