BoG Launches Regulatory And Innovative Sandbox
The Central Bank of Ghana has launched its Regulatory and Innovation Sandbox developed in collaboration with EMTECH Solutions Inc.
The sandbox was launched on August 19, 2022, following a successful pilot implementation.
The Central bank explained that the regulatory Sandbox is an opportune tool for harnessing the potential of technology to develop an efficient and inclusive financial service industry without risking financial stability.
“More importantly, it will serve as an enabling framework for small-scale, live testing of innovations by innovators (operating under a special exemption, allowance, or other limited, time-bound exception) in a controlled environment under the regulator’s supervision.
“It aims at, among others, fostering a deeper understanding of innovative products, services and business models by the regulator, allowing for potential improvements to legal and regulatory requirements to encapsulate emerging technologies, and ensuring careful monitoring and containment of any risks that may emerge”, the Bank noted.
According to BoG, the Regulatory Sandbox Framework, the user guide and access link to the platform can be accessed on the Bank of Ghana website to provide guidance and accessibility to interested licensed and unlicensed financial or non-financial institutions.
Innovations eligible for the sandbox environment must have new digital business models not covered explicitly or implicitly under any current regulation; new and immature digital financial service technology; and innovative and disruptive digital financial service products that have the potential of addressing a persistent financial inclusion challenge.
Source: opemsuo.com/Hajara Fuseini
