Author(s)

Richmond Akwasi Atuahene

Salman Partners and Financial Consult Ltd., Accra, Ghana.

Global remittance flows have increased rapidly in recent years and are considered by previous governments in Ghana as being of high policy interest particularly in analyzing their impact on economic development and security. Remittances have grown remarkably during the last two decades, constituting a large source of foreign exchange flows to developing countries. This in turn has excited considerable interest among economists and policymakers seeking to have a clear understanding of the role and importance of remittances. However, to understand fully the impact of these flows, it is important to measure them accurately. Bank of Ghana’s Balance of Payments (BOP) has not fully captured the volumes of these flows, evidenced in its current estimation method. Compilation of remittance aggregates had been a very tricky job because no single data item in the balance of payments framework comprehensively captures transactions in remittances. This article intends to take a critical look at some of the issues in compilation and analysis of remittances in the World Bank and Bank of Ghana data for the period 2016-2022. In the process of content analysis, secondary data was used through sources which include text books, journal articles, reports, internet and more importantly, from the library and the websites of Bank of Ghana (BoG); World Bank and Auditor General statement on Bank of Ghana Foreign Exchange Receipts. The findings of the paper revealed that for the seven years BOP data presented, showed that inward remittances have increasing considerably despite the issues that arise from compilation and analysis of remittances, including difficulty in obtaining migration and other statistics, identification of transaction channels, and disparities between the World Bank and Bank of Ghana data on inward remittances.

Inward Remittances, Balance of Payments, Ghana, World Bank

Atuahene, R. (2024) Balance of Payments (BoPs) and Inward Remittances Compilation and Analysis Issues: The Case of Ghana from 2016-2022. Open Journal of Social Sciences, 12, 479-497. doi: 10.4236/jss.2024.122028.