Remittance Practices, Digital Technologies and the Ghana-Canada Migration Corridor

Migrant remittances have been recognized as vital resources for the well-being of recipient households and communities, as well as for sustainable development in the Global South. However, these flows can be impeded by limitations in the infrastructure, financial systems, and regulatory environments of both sending and receiving countries, as exemplified by the high costs associated with remitting to sub-Saharan Africa. Consequently, the use of less secure but more affordable informal remittance channels persists. Driven by the rapid growth of fintech technologies in recent years, including mobile money and web-based platforms, the digitalization of remittance-sending and receiving processes has the potential to rectify some of these challenges. By reducing transaction costs and improving the speed and transparency of transfers, digital remittances can contribute to financial inclusion and economic development in recipient countries. The perceived changes in remittance practices brought about by new digital technologies warrant a detailed examination of individual migration corridors. This paper presents a case study of the Ghana-Canada migration and remittance corridor, assessing the uptake of digital remittances and identifying existing limitations, particularly about remittance prices. This understudied corridor is characterized by increased migration flows, growing immigrant communities with strong transnational linkages, and high participation in remitting processes, despite barriers to the socioeconomic integration of racialized immigrants in Canada. The dramatic growth of the mobile money system in Ghana is another key aspect of these digitalization processes and modifications to remitting practices.