Bank of Ghana to regulate digital lending with new guidelines

The Bank of Ghana is finalizing digital lending guidelines. These are expected by August 2025. The aim is to protect the public from online lending platforms.

Governor Dr. Johnson Asiama spoke in Accra on Thursday. He noted concerns about online lenders exploiting Ghanaians, especially young people and informal workers. Many are lured by attractive offers but end up facing hidden fees and harassment.

At a meeting with bank CEOs, Dr. Asiama said, “We’ve received reports of individuals being threatened or scammed while seeking quick loans.” He emphasized that this situation cannot continue.

The upcoming guidelines will set clear standards for digital lending models. They will cover licensing, interest rate transparency, data protection, and customer privacy. Ethical recovery practices will also be included.

Dr. Asiama highlighted the Central Bank’s goal of protecting vulnerable borrowers from exploitation. He wants to create an environment for responsible digital lenders to thrive.

He advised institutions involved in digital lending to review their models for compliance. While Ghana's digital lending has potential for financial inclusion, it faces many challenges.

These challenges include unethical debt collection practices and data privacy risks. Limited financial literacy and a lack of consumer trust also hinder growth in this sector.