Fintech, otherwise called financial technology, is the use or integration of innovative digital technologies—such as a wide range of applications, including mobile banking apps, digital wallets, Application Programming Interface (API), Artificial Intelligence (AI), big data, cloud computing, blockchain technology, and Web3—to improve, streamline, and completely transform financial services and systems.
All these digital innovative technologies allow fintech companies to reshape how people manage money, make payments, access credit, and invest. It often bypasses traditional banking structures and offers faster, more affordable solutions. At its core, fintech aims to make financial services more accessible, efficient, and user-friendly for both consumers and businesses.
However, setting up a fintech company would require some regulatory approvals and licensing. Key regulatory stakeholders include the Bank of Ghana (BOG)—which is the primary regulator for licensing and supervision, the Data Protection Commission for data privacy compliance, and the Financial Intelligence Centre (FIC) for Anti-Money Laundering (AML) compliance.
It's also important to note that obtaining a fintech license in Ghana is one of the must-do tasks for companies aiming to operate legally and build trust in the country's growing digital financial services sector. The operating license—issued by the BOG—and the compliance licenses—issued by other regulators—ensure that fintechs meet regulatory standards for security, transparency, and consumer protection, which is critical for safeguarding users' funds and data.
In addition to that, securing both operating and regulatory licenses opens doors to partnerships with banks and mobile money providers, which will also help in providing unlimited service delivery and scalability. As regulatory compliance is important in the sense of sustainability and credibility, proper licensing is also crucial for fintech companies to avoid risk penalties, shutdowns, and loss of customer confidence.
However, it's important to note that Ghana’s regulatory landscape for fintech is largely built on the Payment Systems and Services Act, 2019 (Act 987), which requires all electronic money issuers, payment service providers, and fintech companies to obtain a license from the BOG.
But beyond banking licensing, these entities must also adhere to key legal requirements, including anti-money laundering and counter-terrorism financing guidelines (AML/CFT, 2018), the Anti-Money Laundering Act, 2020 (Act 1044), and various consumer protection standards to ensure safe and responsible financial practices.
It's also important to note that the Bank of Ghana offers various licensing categories that are designed for various permissible fintech banking activities. Under the Payment Systems and Services Act, 2019 (Act 987), there are 6 types of operating licenses fintech companies can obtain depending on how they plan to scale, how they want to operate, and the market they want to be operating in. Let's dive into the full classification.
BOG Licensing Categories and Permissible Activities for Fintechs
1. Dedicated Electronic Money Issuer (DEMI)
A Dedicated Electronic Money Issuer (DEMI) license is granted to non-bank entities such as fintechs that are solely focused on issuing and managing electronic money. DEMI license holders are permitted to perform cash-in and cash-out services, facilitate bill payments, enable merchant payments (via QR codes, USSD, or mobile apps), and support domestic transfers.
However, they cannot intermediate funds, invest customer balances, or earn interest on those funds. Here's a list of services the DEMI license will allow you to offer:
- Registration, creation, and management of digital mobile money wallets.
- Peer-to-Peer (P2P) transfers (on-net/off-net).
- Recruitment and management of agents and their entire networks.
- Cash-in and cash-out services.
- Termination of inbound international money transfers.
- Loans, investments, insurance, savings, credit, and pension products are only allowed through partnership with banks and regulated financial institutions.
- Wallet-based domestic money transfers (including to/from bank accounts).
- Mobile money merchant acquiring.
In a nutshell, DEMI license holders are allowed to offer services such as mobile money wallets, electronic payment solutions, and peer-to-peer transfers, among others, but they're not allowed to provide traditional banking services like lending, insurance, savings, credit, investment, and pension unless they partner with other banks like regulated microfinance banks (MFBs).
2. Payment Service Provider – Scheme (PSP–Scheme)
A PSP–Scheme license is issued to fintech companies that operate payment schemes or networks such as card payment platforms (e.g., Visa, Mastercard), mobile money networks, or other interoperable payment systems. These entities do not necessarily interact directly with end users but rather manage the underlying infrastructure that allows for the seamless transfer of funds between financial institutions and service providers.
Here's a list of services the PSP–Scheme License will allow you to do:
- Domestic card brand associations (e.g., Gh-Link).
- Managing the rules and protocols for payment transactions.
- Switching and routing of payment transactions and instructions.
- Ensuring security and compliance across the network.
- Facilitating interoperability among participating entities.
- Management of payment frameworks and infrastructure.
In a nutshell, PSP scheme operators don’t issue money themselves, but the license is distinct because it focuses more on the management of payment frameworks and infrastructure rather than the provision of direct-to-customer financial services. Their primary activities include managing the rules and protocols for payment transactions, ensuring security and compliance across the network, and facilitating interoperability among participating entities.
3. Payment Service Provider – Enhanced (PSP – Enhanced)
The PSP-Enhanced license is for fintech companies that provide advanced payment services, often involving higher transaction volumes and service offerings than lower-tier PSPs. This includes services like aggregating payments from multiple sources, providing APIs for merchants, facilitating mobile and online payments, processing bulk transfers, and integrating with banks and e-money issuers.
Here's a list of services the PSP-Enhanced License will allow you to do:
- All activities under PSP – Medium
- Aggregation of payments from multiple sources.
- Provision of APIs for merchants.
- Facilitation of mobile and online payments.
- Financial services marketplace
- Merchant acquiring and aggregation.
- Bulk transfers processing.
- Banks and e-money issuers integration.
- 3rd-party payment gateway services.
- Printing and personalization of EMV cards.
- Larger transactional volumes.
- Inward international remittances.
- Closed-loop virtual cards funded via refunds, rewards, or user accounts.
In a nutshell, PSP-Enhanced licensees can act as aggregators, payment gateways, and processors, offering customizable solutions to merchants, corporations, and government institutions. When compared to Medium PSPs and Standard PSPs, Enhanced PSPs operate with more exclusive permissions and serve as critical intermediaries in Ghana’s digital financial services landscape.
4. Payment Service Provider – Medium (PSP – Medium)
A PSP—Medium license is issued to service providers whose operations are moderate in scope and scale. It's larger than Standard PSPs, which I will be explaining in the fifth license of this section, but not as extensive as Enhanced PSPs. Here's a list of services the PSP—Medium License will allow you to do:
- Connected to an Enhanced PSP.
- All activities under PSP – Standard.
- Point-of-sale (POS) service offerings and deployment.
- Mobile and online payments management.
- Payment and merchant onboarding and aggregation.
- Provision of integrations for small to mid-sized businesses.
- Printing of non-cash payment instruments (e.g., checks).
- Mobile payment apps with liability shift.
The key difference between Medium and Enhanced PSPs lies in the size and complexity of operations. Medium PSPs serve a narrower segment of the market and often operate under more focused business models. However, Medium PSPs can handle higher transaction volumes than Standard PSPs. In a nutshell, Medium PSP licenses are more useful in supporting e-commerce, SME digitization, and merchant payment solutions.
5. Payment Service Provider – Standard (PSP – Standard)
PSP-Standard licenses are granted to fintech companies that are willing to offer basic payment services on a smaller scale. These include small-scale POS operators, agents, or startups aiming to offer limited mobile and online payment services. Standard PSPs usually serve local businesses and individuals with simple transaction tools like payment links, USSD-based payments, and small-scale merchant integrations.
Here's a list of services the PSP-Standard License will allow you to do:
- Connected to an Enhanced PSP.
- Mobile payment apps (liability shift rests with Enhanced PSP).
- Limited mobile or online payment services.
- Small-scale POS operators and merchant integration.
- Payment links and USSD-based payments.
Fintechs chasing this license operate under lighter regulatory expectations and lower capital requirements compared to Medium and Enhanced PSPs. It's an entry-level license suitable for startups or small enterprises that want to start small.
6. Payment and Financial Technology Service Provider (PFTSP)
This is another fintech license from the Bank of Ghana that allows interested companies to deliver innovative digital financial solutions beyond basic payments. The license allows companies to use technology to develop new financial products, platforms, and value-added services that enhance user experience and financial inclusion. Here's a list of services the PFTSP License will allow you to do:
- Digital product development, delivery, and support services.
- Lending platforms, tools, and services including credit scoring services and predictive analytics tools.
- AML/CFT centralized platforms.
- Personal finance management tools including investment and crowdfunding tools.
- Know Your Customer (KYC) and Customer Due Diligence (CDD) authentication services.
- Embedded finance.
- Fraud management services.
- Building APIs, Data Analytics tools, AI-driven financial platforms, and other Backend systems.
- Permitted to connect to DEMIs, PSPs, Banks, and other regulated Financial Institutions.
Meanwhile, it's important to note that PFTSP license do not allows operators to issue money or operate payment schemes directly. It allows them to offers the necessary digital tools to other licensed fintech companies for value-added services.
Compnaies operating under PFTSP often provide more advanced services including building APIs, data analytics tools, AI-driven financial platforms, and other backend systems for licensed fintech companies within the oversight of the central bank.
Capital Requirements and Fees
Now that you've known all the fintech licenses that are available in Ghana, it's also important to know their capital requiremenets and fees. Capital requirements is the minimum amount of financial resources a company must have in place before it can be granted a license.
However, for fintech corporations or companies seeking to obtain licenses from the central bank of Ghana, the capital requirements means that you must have set a certain amount of money (either as paid-up capital, a security deposit, or liquid assets) aside to prove your company is financially stable enough to operate.
The reason behind this capital requirements is to ensure that the financial technology business you're about to venture into can meet its obligations to customers, absorb potential losses, and maintain operations without collapsing at the first sign of trouble. In a nutshell, the capital requirements is the regulator’s way of making sure you have enough financial “muscle” to back up your services.
In addition to capital requirements, fees are also charged based on the type of license you're lobbying for. Fees are amount Bank of Ghana charge your company for when applying for, obtaining, or renewing a license. In other words, fees are the money you paid for application fees, license issuance fees, and annual renewal fees.
The Licensing Capital Requirements and Fees
- For tthe Dedicated Electronic Money Issuer (DEMI) License, you'll need a GHS20 million capital requirement, a GHS25,000 processing fee, a GHS100,000 licensing fee, and a GHS10,000 renewal fee every five years.
- For the Payment Service Provider – Scheme License, you'll need a GHS8 million capital requirement, a GHS20,000 processing fee, a GHS90,000 licensing fee, and a GHS8,000 renewal fee every five years.
- To obtain a Payment Service Provider – Enhanced Fintech License, you'll need a GHS2 million capital requirement, a GHS12,000 processing fee, a GHS40,000 licensing fee, and a GHS7,000 renewal fee every five years.
- The minimum capital requirement for securing a Payment Service Provider – Medium License is GHS 800,000. The licensing fee is GHS 15,000, the processing fee is GHS 8,000, and has a recurring renewal fee of GHS5,000 every 5 years.
- Payment Service Provider – Standard Licnese and Payment and Financial Technology Service Provider (PFTSP) does not have capital requirement. This means you can obtain these licenses without worrying about capital requirements. However, you'll need to meet the processing fee, licensing fee and per 5-yr renewal fee. For PSP – Standard, the licensing fee is GHS1,000, the processing fee is GHS500, and the renewal fee is GHS200. For PFTSP License on the other hand, the licensing fee is GHS20,000, the processing fee is GHS10,000, and the renewal fee is GHS5,000.
Here's a more detailed explanation about the minimum capital requirements, licensing fee, processing fees, and the renewal fee Bank of Ghana charges to issued fintech licenses to companies looking to venture into the country's financial market.
| Licence Type | Capital Requirement | Processing Fee | Licence Fee | Renewal Fee | Tenure |
|---|---|---|---|---|---|
| DEMI | GHS 20,000,000 | GHS 25,000 | GHS 100,000 | GHS 10,000 | 5 Years |
| PSP – Scheme | GHS 8,000,000 | GHS 20,000 | GHS 90,000 | GHS 8,000 | 5 Years |
| PSP – Enhanced | GHS 2,000,000 | GHS 12,000 | GHS 40,000 | GHS 7,000 | 5 Years |
| PSP – Medium | GHS 800,000 | GHS 8,000 | GHS 15,000 | GHS 5,000 | 5 Years |
| PSP – Standard | No capital required | GHS 500 | GHS 1,000 | GHS 200 | 5 Years |
| PFTSP | No capital required | GHS 10,000 | GHS 20,000 | GHS 5,000 | 5 Years |
Guides to Obtaining a Fintech License in Ghana
Have you known the type of License you want to apply for? Have you known all the requirements such as capital requirements, processing fee, licensing fee, and renewal fee? If you haven't known, then you're still missing out. Go back and read this article from the start. But if you've known all these already, let's dive into the step-by-step guide to secure a license for your fintech company from the Bank of Ghana.
1. Choose a License that Fit your Business Model
This is the first thing you need to determine. However, your determination will be influenced by the financial services you intend to offer. So, you need to evaluate your business models and map it against the five main licensing categories.
Choose the category whose permissible activities align with your services. You can also seek legal advice from lawyers or law firms to support you if you're confused about the best license that's tailored to your business models.
2. Register/Incorporate your Business
Before you go to Bank of Ghana to seek for license, you first need to incorporate your company. This is one of the essential things to run a business legally in Ghana. Register your business name and incorporate the company with Registrar General’s Department of Ghana.
However, it's important to note that when incorporating a fintech company with the Registrar General's Department, the stated business objectives in your incorporation documents must match the specific license category you are applying for.
For Fintech company that want to operate under the DEMI license, it is mandatory to expressly state that all customer funds will be held in trust accounts, separate from the company’s own funds, and that these funds will remain unencumbered and protected even if the company becomes insolvent.
3. Gather all Required Documents
Here’s a breakdown of required documentation you will need to do to successfully secure the license:
Business Plan
- File your Business Overview.
- Highlight Market Analysis and provide details about your products.
- Five-year financial projections.
- Pricing model: commissions, fees, transactional limits.
Company Profile
- Overview of business, history, address, and digital address.
- Incorporation Documents
- External auditors, bankers, and 3rd-party service providers.
Risk Management
- Operational, market, liquidity, credit, fraud, and legal risks.
- Anti-Money Laundering (AML)/CFT policies.
- Enterprise risk framework.
- Business Impact Analysis.
Company Management
- Shareholding structure, nationality, per percentage shares.
- Shareholder agreements and certificates.
- Notary attestations for foreign shareholders (10%+).
- Board profiles (minimum 3 directors).
- Management team profiles (CEO, Risk, Tech, AML, Finance).
- Organogram and board charter.
ICT Framework
- ICT architecture & diagrams.
- 2FA, monitoring tools, and fraud detection.
- Policy framework: cybersecurity, remote work, data privacy.
- ISO 27001 / PCI DSS / EV-SSL / vulnerability assessments.
- Business Continuity & Disaster Recovery Plan.
Consumer Protection
- Disclosures and education per Act 987.
- Customer data rights.
- Complaint resolution process.
You can download the full licensing requirements from the BOG's website.
4. Secure Approval from other Key Regulators
This is another essential thing to do. Bank of Ghana is not the only institution that will give you go ahead to operate a financial technology institution in Ghana. If you only secure approval from BOG, you'll face further legal penalties from other regulators if the necessary approvals are not secured.
Here's a list of other regulators you need to seek approval from to operate a fintech company in Ghana:
- Financial Intelligence Centre (FIC) – AML/CFT registration.
- Submit Service Level Agreements (SLAs) with third parties.
- Data Protection Commission – For consumer data handling.
- Ghana Revenue Authority (GRA) – For tax registration and TIN.
Once all these approvals are secured and you've gathered all the required documents and capital requirements, then you can proceed to submitting your license application to Bank of Ghana.
5. Submit Application to Bank of Ghana
The licensing application is 100% online. Begin the licensing application by visiting the apex bank's ORASS portal which is accessible via: https://orassportal.bog.gov.gh/PublicForm/PublicForm.aspx. On the portal, submit your company's principal user details.
Once your company's info have been accurately filed in their designated space on the portal's form, click on Submit. The licensing application form will be submitted to BOG’s Fintech and Innovation Office. The bank's department will then reach out to you to proceed with the application, which will include:
- Submitting all the documents as explained above.
- Proof of capital (integrity capital must be in a BoG-approved bank).
- Payment of processing and licensing fees.
Once all the documents, and proof of capital requirements are submitted, and all necessary payments are made, BOG will proceed to screening your documentation.
This screening process includes evaluating your company governance and risk management, inspecting your ICT systems, conducting site visits and due diligence, and verifying the fitness and propriety of your directors and shareholders.
6. Licensing Decision and Post-License Compliance
After the screening, BOG will decide whether to approve your application or not. Pitfalls that usually lead to application decline are poor governance structure, under-capitalization, lack of internal AML/CFT frameworks, and not aligning objects of incorporation with regulated activities.
However, if your licensing application is approved and successful, you'll receive an approval-in-principle (AIP). You'll receive the finals license after the AIP conditions are met. Conditions such as systems tested are set by BOG for for final licensing after issuing approval-in-principle.
The approval-in-principle allows you to set up the necessary systems, hire key staff, put in place compliance structures, secure partnerships, and demonstrate operational readiness under the regulator’s supervision.
However, you cannot start offering services to the public or process live customer transactions until you receive the full license. It’s essentially the Bank of Ghana saying, “You’re on the right track—now prove you can meet the final conditions.”
During the AIP processes (post-license compliance), you'll need submit periodic returns to BoG, implement customer recourse mechanisms, and adhere with AML/CFT reporting.
Final Notes
My last words are for people or new entrants who want to build credible fintech solutions in Ghana is that it’s wise and advisable to seek legal guidance from experienced consultants or legal experts to avoid costly mistakes if they don't know much about the licensing procedures.
