During the recently concluded Mozambique FinTech Week’25, held from March 17 to March 20, 2025, Kwame Oppong, the director of FinTech and Innovation at the central bank of Ghana, shed light on Ghana's significant strides in transforming its financial ecosystem through technological advancements. This year's theme, "Regulation and Governance for an Innovative Financial Ecosystem," provided a platform for stimulating discussions between regulators, entrepreneurs, investors, and academics.
Oppong opened his presentation by recounting Ghana's journey into the FinTech sector, which commenced in the early 2000s as the central bank recognized the imminent need to adapt to a digital future in finance. "We started by establishing a national compensation system and, over time, integrated mobile money into our ecosystem," Oppong explained. This early foresight laid the groundwork for the digital economy that Ghana enjoys today.
The driving forces behind Ghana's successful financial digitalization rested on three strategic axes: expanding financial inclusion, creating job opportunities, and enhancing the effectiveness of monetary policy transmission. As Oppong noted, many citizens previously lacked access to essential financial services, and even those with access found limited products catering to their daily needs. This realization led to the development of a more inclusive financial system.
The FinTech sector has been a catalyst for the emergence of several innovative companies, playing a crucial role in generating skilled employment. These startups are not just reshaping the local economy; they have also become attractive to foreign investments, exceeding $100 million (approximately 6.3 billion meticais) in some years. Ghana, notably, attracted over $6 billion (378 billion meticais) in remittances in 2024 alone, a figure that often surpasses foreign direct investment flows and contributes significantly to the nation's foreign reserves.
In the realm of pensions and investment, Ghana has rolled out innovative mechanisms aimed at including informal workers, a group traditionally overlooked in the financial sector. Additionally, pioneering financial products such as Treasury Bills for All, which debuted in 2017, and platforms like the People’s Pension Trust and MyPensions were launched through collaborations between financial institutions and tech firms. These initiatives have effectively dismantled barriers to entry, enabling a wider demographic—ranging from farmers to taxi drivers—to engage in savings and investment opportunities.
Additionally, Oppong emphasized the crucial role of new technologies like artificial intelligence and machine learning in crafting solutions tailored to the African context. "These tools allow us to extract deep insights from scattered data, helping us transition to smarter and more efficient models," he remarked, highlighting the importance of leveraging technology in financial services.
On the regulatory side, the central bank of Ghana has adopted a risk-based approach that balances the promotion of innovation with consumer protection and system stability. "We established differentiated categories for service providers, adjusting requirements based on the level of risk each activity presents," Oppong explained. By implementing such frameworks, Ghana ensures that basic service operators can obtain licenses under relaxed regulations, provided they meet certain international safety standards.
In terms of governance, Oppong pointed out a frequent oversight among many entrepreneurs who initially neglect the importance of structured governance. "It is common for startups to undervalue structures like boards of directors or independent control functions in the early stages of business," he noted. However, Oppong affirmed that companies adopting sound governance practices are often the most sustainable and successful. "Our experience shows that these are the entities that demonstrate higher compliance and better performance within the sector," he added.
As he concluded, Oppong delivered a compelling message aimed explicitly at aspiring FinTech founders: "If there is no other voice than yours in the business development, there will not be any barrier protecting you from yourselves. Trust is the most important asset in the financial sector and must be built from day one." This resonance underscores the ethos that trust and good governance are cornerstones for any successful financial venture.
Mozambique FinTech Week’25 wrapped up its engagements on March 20, leaving participants energized and enriched from sessions that solidified dialogue and collaboration in creating a robust, inclusive, and sustainable digital financial ecosystem.
