Introduction of GhanaPay complements measures to accelerate Ghana’s migration to electronic payments – Governor

The Governor of the Bank of Ghana, Dr. Ernest Addison, says, the introduction of GhanaPay complements the measures to accelerate Ghana’s migration to electronic payments.

He is therefore encouraging the banking sector to collaborate and further explore more pioneering ways to attain greater efficiency in the payments ecosystem.

Speaking at the launch of a new payment platform that will complement mobile money and banking services, Dr. Addison said GhanaPay is one of such innovations in the financial sector that seeks to address some of the challenges associated with the current bank centric models by providing an open application that leverages on network infrastructure of the entire banking industry.

With GhanaPay, the Governor said merchants do not necessarily need to maintain banking relationships with several banks to receive bill payments from other bank customers, adding, customers only need to maintain an account with a bank to make bill payments to the entire network of customers and merchants registered with GhanaPay.

GhanaPay, therefore, facilitates resource pooling from the entire banking industry and reduces duplication. It is expected that the industry will be guided by this innovation and continue to retool and respond to the changing environment.

He further added that “the introduction of the GhanaPay is laudable, but there is still more room for expansion and banks must step up efforts to digitise the value chain for both merchants and users through digitisation of payments to distributors, wholesalers, and retail outlets”.

In less than a decade, GhIPSS Instant Pay transactions valued at ¢420,000 in 2016 surged exponentially to ¢31.4 billion in 2021.

In tandem, both the value of mobile money transactions and registered mobile money agents also increased thirteen and four folds, respectively in 2021. Another key development was that Ghana’s cash usage measured by currency in circulation as a ratio of Gross Domestic Product (GDP) declined from 6.8% in 2016 to 4.7% in 2021.

In addition, Ghana’s cheque usage per capita, which was 25.67% in 2016 declined to 18.9% in 2021.

The Governor said “going cashless is more than electronic payments. It should be about putting the consumer at the centre of innovation for greater value creation in e-payment products that are competitively priced and frictionless”.

He charged banks to ensure operational resilience and constant strengthenin of cyber security of market infrastructures and endpoints against cyber-attacks, adding,

The Governor congratulated GhIPSS and the banking industry on the development of GhanaPay, saying, it is my fervent hope that this collaborative spirit will be sustained and enhanced to move the country towards a successful migration to electronic payments and an efficient and effective payment system.

Source: Myjoyonline