The Governor of the Bank of Ghana (BoG), Dr. Johnson Pandit Asiama, has disclosed that Ghana is collaborating with the African Continental Free Trade Area (AfCFTA) Secretariat and other stakeholders to explore the use of stablecoins and other digital financial innovations to address persistent cross-border payment challenges across Africa.
According to him, the initiative forms part of broader efforts to strengthen financial integration, improve payment interoperability, reduce transaction costs, and facilitate seamless trade within the sub-region and across the continent.
Dr. Asiama explained that the discussions and experimentation are currently being undertaken within a controlled regulatory sandbox environment to ensure that emerging digital payment solutions are tested carefully while risks are properly managed.
“And so, we are working on some of those fronts within a sandbox environment to start with, so as to be able to establish those platforms to support greater integration across the sub-region,” he stated.
The Governor made the remarks during a fireside chat on the future of monetary governance, digital transformation, interoperability, and financial stability at the ACI Financial Markets World Congress held in Accra.
Cross-border payment systems remain fragmented
Dr. Asiama noted that despite progress made by African countries in promoting regional trade and economic cooperation, payment and settlement systems across the continent remain highly fragmented.
According to him, the lack of integrated payment systems continues to make cross-border transactions within Africa expensive, slow, and inefficient, thereby undermining efforts to deepen intra-African trade under the AfCFTA framework.
“Someone says it is cheaper, for example, to send money across the oceans than to send money to another country within the sub-region,” he remarked.
He stressed that the continent’s economic integration agenda cannot succeed fully without efficient and interoperable payment infrastructure capable of supporting businesses, consumers, and investors across African borders.
Stablecoins and digital innovation
The Governor explained that central banks across Africa are increasingly exploring digital financial innovations, including stablecoins and digital payment platforms, as possible tools for improving cross-border settlements and financial connectivity.
Stablecoins are digital currencies typically designed to maintain stable values by being linked to traditional assets such as fiat currencies or commodities.
Dr. Asiama indicated that African regulators and central banks are beginning to work more closely together to understand emerging technologies and create harmonised regulatory approaches that encourage innovation while maintaining financial stability.
According to him, collaboration among regulators has become necessary because digital finance and fintech innovations are rapidly evolving beyond national boundaries.
Regulatory collaboration across Africa
Dr. Asiama disclosed that African central banks are now deepening cooperation in areas such as payment systems, financial technology regulation, digital innovation, and supervisory standards.
He explained that regulators are increasingly sharing experiences and lessons on how to manage the opportunities and risks associated with emerging financial technologies.
The Governor said harmonised regulations and coordinated supervision would be essential in building trust and enabling interoperable digital financial systems across the continent.
Innovation must support stability
While encouraging innovation, Dr. Asiama stressed that digital financial transformation must go hand in hand with financial stability, consumer protection, and proper risk management.
He cautioned regulators against approaches that suppress innovation through rigid regulation without understanding the underlying technology and risks involved.
“Do not regulate the technology but regulate the risk. Work with them, understand what it is about, so that you do not frustrate, you rather facilitate your approach,” he stated.
According to him, central banks and regulators must adopt flexible and collaborative approaches that allow innovation to thrive while safeguarding the integrity and stability of financial systems.
BoG promotes regulatory sandboxes
Dr. Asiama explained that the Bank of Ghana has been actively promoting regulatory sandboxes and innovation hubs to create controlled environments where fintech firms and innovators can test new products and services safely.
The sandbox framework allows innovators to experiment with financial technologies under regulatory supervision before full-scale deployment.
He said the approach enables regulators to better understand emerging technologies, identify risks early, and develop appropriate policy responses without stifling innovation.
The Governor further disclosed that discussions are underway to establish a broader sub-regional sandbox framework that would allow African countries to jointly test and coordinate digital financial innovations.
According to him, such collaboration could help African regulators learn together, harmonise standards, and accelerate financial integration across borders.
Supporting AfCFTA integration agenda
Dr. Asiama stressed that integrated payment and settlement systems are critical to the success of the African Continental Free Trade Area.
He noted that without efficient payment systems, businesses operating across African borders would continue to face high transaction costs, delays, foreign exchange inefficiencies, and settlement challenges.
The Governor said improving interoperability across Africa’s financial infrastructure would support trade, deepen financial inclusion, attract investment, and accelerate economic growth.
BoG backs innovation platforms
The Governor also highlighted the Bank of Ghana’s support for initiatives such as the 3i Africa Summit, which brings together central bank governors, fintech innovators, investors, policymakers, and financial institutions from across the continent.
According to him, such platforms are helping to shape discussions around innovation, digital finance, financial inclusion, and the future of Africa’s financial markets.
Optimism about Africa’s financial future
Dr. Asiama expressed optimism that stronger collaboration among regulators, innovators, investors, and financial institutions would help Africa build resilient, inclusive, and technology-driven financial systems.
He said the continent possesses enormous opportunities to leverage digital finance and innovation to transform trade, expand financial access, and drive sustainable economic growth.
The Governor maintained that Africa’s future competitiveness would depend significantly on its ability to build integrated and interoperable financial systems capable of supporting the continent’s growing digital economy.
