RightCard Payment Services Limited, a payment subsidiary of Nigerian fintech startup LemFi, has obtained approval from the Bank of Ghana (BoG) to resume the operation of its remittance services in Ghana.
RightCard resumption of its remittance services in Ghana is coming following a temporary suspension in November 2023.
The Fintech subsidiary was suspended by the Bank of Ghana (BoG), along with several international money transfer companies, which include Wise, Zeepay, LemFi, and others. The bank disclosed that the suspension was a result of its efforts to enforce the Payment Systems and Services Act, 2019 (Act 987), which regulates payment services in Ghana.
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The central bank further asserted that LemFi and the mentioned companies were operating without the necessary license or authorization to function as electronic money issuers or payment service providers in Ghana.
Additionally, the BoG alleged that these companies violated the Foreign Exchange Act, of 2006 (Act 723), which prohibits the use of foreign currency as a medium of exchange within Ghana.
Following the recent approval of RightCard to offer remittance services, the Payment Services can now deliver its services in Ghana through payment companies, such as BigPay and ExpressPay, as approved by the Bank of Ghana.
Speaking on this development, LemFi’s Country Manager in Ghana, Precious Ama Kwartemaa Oduro, said,
“We are grateful to stakeholders at the Bank of Ghana as well as our partners for their role in ensuring service restoration. We resume our operations with a better understanding, and we are now better positioned to address the evolving needs of the Ghanaian market.”
LemFi’s return to Ghana is marked by a renewed focus on improved customer satisfaction, strengthened partnerships with key stakeholders, and a commitment to fostering financial inclusion.
Founded in 2020, LemFi offers remittance services to Africans in the diaspora. Users can hold, send, and receive money in at least two currencies that of their host country and home country.
In 2021, Lemfi acquired UK-based Rightcard Payment Services, which enabled the fintech company to obtain an Electronic Money Institution (EMI) license from the UK’s Financial Conduct Authority (FCA) to provide customers with more services, such as higher transaction limits, e-money accounts, and more
The startup also acquired an International Money Transfer Licence (IMTO) in Nigeria, allowing it to process remittances to Nigerian bank accounts without an intermediary.
RightCard delivers innovative services and products in various markets, through the LemFi app. The startup has been very deliberate and strategic in acquiring licenses and building a robust network of financial institution partners to facilitate cross-border payments for immigrants.
It aims to empower the next generation of immigrants by offering a multi-currency platform that facilitates seamless transactions, including sending, receiving, holding, converting, and saving in both the user’s country of origin and their country of residence.