Gov’t, AfDB, World Bank to reduce cost of remittances

Government is working to reduce the cost of remittances by some nine per cent in the coming years.

The move is part of efforts to attract more remittances from abroad to fuel economic growth.

The global average cost of sending $200 remained high, at around 7 per cent in the first quarter of 2019, according to the World Bank’s Remittance Prices Worldwide database.

Reducing remittance costs to 3 per cent by 2030 is a global target under Sustainable Development Goal (SDG) 10.7.

Remittance costs across many African corridors and small islands in the Pacific remain above 10 per cent.

Director of Diaspora Affairs at the Presidency, Kwasi Awuah-Ababio told Starr Business, the government is working with the African Development Bank and the World Bank to craft measures to make the cost of remittances cheaper for Ghanaians abroad.

“When the figure comes down we believe it will encourage more remittances. We want it to come down by 9 to 8 per cent. The World Bank, however, have a rate they are working with,” Mr Awuah-Ababio said.
He spoke to Starr Business as the country prepares to host the 2019 Year of Return; Diaspora Home Coming.

The Ghana Diaspora Celebration & Homecoming Summit 2019 (GDHS’19) is a four-day event recognizing and celebrating the immense contributions to the nation building by the Ghanaian Diaspora.

The event will not only highlight past contributions but will focus on present contributions as well, whiles furthering the advocacy for political, economic, and all other systems and policies that would facilitate future contributions by the Ghanaian Diaspora.

And in light of the fourth centennial commemoration of the arrival of enslaved Africans in the western hemisphere, this event recognizes that the Ghanaian Diaspora extends beyond Ghanaian citizens or nationals and their immediate relatives.

It also includes others outside the borders of Ghana, with roots to, or a strong vested interest in the country.

This recognition is based upon the need and desire for a long-term engagement between Ghana and her important stakeholder constituency. It is accompanied by the Ghana Government’s open-arm policy to all people of African descent.