BoG issues second warning notice against 97 unlicensed entities providing loans via mobile money
The Bank of Ghana (BoG) has issued a notice regarding the persistent operation of unlicensed entities that offer loans through mobile applications to the Ghanaian public. These entities, numbering 97 according to the BoG, are operating without the necessary license or authorization, in violation of the Banks and Specialised Deposit-Taking Institutions Act, 2016 (Act 930).
The BoG emphasizes that the activities of these unlicensed loan providers not only contravene financial regulations but also pose significant risks to customer data and privacy laws. Additionally, these entities fail to comply with consumer protection requirements and norms, which can have adverse implications for the well-being and financial security of their customers.
To safeguard the integrity of financial service delivery, the BoG asserts its commitment to taking action against these unlicensed entities in collaboration with relevant state agencies. The central bank also warns the general public against engaging in any transactions with these unlicensed loan providers.
Furthermore, banks, specialized deposit-taking institutions, and payment service providers are cautioned against facilitating illegal transactions with these unlicensed loan applications. The BoG encourages financial institutions to adhere to regulatory guidelines and only facilitate transactions with licensed entities to ensure the protection and financial well-being of their customers.
The general public is advised to consult the Bank’s website using the link below for the approved list of licensed institutions, before transacting any business with an institution. (https://www.bog.gov.gh/supervision-regulation/allinstitutions/)
