Decoupling Fintech Regulations from Mainstream Banks: A Catalyst for Innovation
Categories : Regulation and Payment System Governance, Regulation of Digital Financial Services
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Author: Digital Finance Professionals Ghana
This webinar organised by Digital Finance Professionals Ghana, discussed global trends in the DFS space and highlight strides that Ghana has chalked in growing its DFS market. Panelists for the webinar were:
- Derek B. Layrea – Head, Research and Communications, of Telecoms Chamber
- David Porteous – Chairman of Digital Frontiers and CEO of BFA Global
- Carl Pomeyie – Country Director of Transsnet Payments Ghana
- Ophelia Oni – Financial Inclusion Expert at Digital Disruptions
There is a growing recognition by Central Banks across the world about the potential and opportunity that DFS has for the growth of financial inclusion and the impact of leveraging digital services to grow economies following the Bali-Fintech Agenda in 2018. Ghana continues to showcase that recognition by the creation of a new Fintech and Innovation Office within the Central Bank in February 2020 to respond specifically to the growing DFS ecosystem and support players within the space towards Licensing. These moves are tied with a 2019 robust law called the Payments and Systems Services Act as well as other three key policies launched in 2020 by the Government through the Finance Ministry. These proactive initiatives positions Ghana firmly on the back of the global pandemic COVID-19, which is creating a surge in the use of digital technologies and online commerce with its associated linkage to digital payments.
The Central Bank has also commenced plans to implement a 90-day pilot regulatory and innovation sandbox and this will go a long way to foster innovation needed to overcome the barriers to financial inclusion. It will support the Regulator make informed regulatory decisions as well support service providers to reach the market quicker than they normally expect. There is confidence that with the right laws, policies and enabling environment, Ghana is setting itself on a path to win by building its DFS ecosystem to adapt to increasingly globalized markets and rapidly changing technologies.