By The Bank of Ghana (BoG) has initiated discussions with commercial banks following the reintroduction of transfer charges after the removal of the Electronic Transfer Levy (E-Levy). This move comes in response to growing customer concerns over newly imposed or increased fees on transactions between personal bank accounts and mobile money wallets.
Background on E-Levy Removal
The E-Levy, introduced to tax electronic transactions, was abolished earlier this year. Many Ghanaians welcomed its removal, expecting a reduction in transaction costs. However, shortly after its repeal, several banks reintroduced transfer charges, leading to frustration among customers.
BoG’s Response
BoG Governor Dr. Johnson Asiama acknowledged the issue, stating that the central bank is closely monitoring the situation. He confirmed that BoG is engaging banks to understand the rationale behind these charges and ensure transparency in their implementation.
Impact on Banking and Mobile Money Transactions
Since the removal of the E-Levy, the banking sector has experienced a GHC 5 billion decline in total deposits between March and April 2025. Meanwhile, mobile money transactions have surged, reaching GHC 365 billion in April—a 3.8% increase from March.
Concerns from Customers
Many customers argue that the reintroduced charges defeat the purpose of removing the E-Levy, as they continue to face high costs when transferring funds. Some fear that these fees could discourage digital transactions and slow financial inclusion efforts.
Next Steps
BoG has assured the public that it will engage banks to address concerns and ensure fair pricing structures. The central bank aims to strike a balance between bank profitability and consumer protection, ensuring that financial services remain accessible to all.
Regulatory Oversight
The central bank is expected to review banking policies to prevent excessive charges on digital transactions. This could lead to new regulations that limit transfer fees and promote fair competition among financial institutions.
Potential Economic Impact
If unchecked, high transfer charges could reduce consumer confidence in digital banking and mobile money services. This may slow Ghana’s transition to a cash-lite economy, affecting overall financial inclusion.
Public and Industry Reactions
While banks defend the charges as necessary for operational costs, consumer advocacy groups have called for greater transparency and fair pricing. The debate continues as BoG works toward a resolution that benefits both financial institutions and customers.
Conclusion
BoG’s engagement with banks over reintroduced transfer charges is a crucial step in ensuring fair financial practices. As discussions progress, the central bank’s role in regulating digital transactions will be key to maintaining trust in Ghana’s financial system
