Since the introduction of Mobile Money (MoMo) into the Ghanaian market over a decade ago by telecom giant MTN, the industry has seen a study growth from its humble beginnings with a current number of 316,919 registered and 173,229 active mobile money agents nationwide and 29 million accounts (Ministry of Finance, Ghana). Figures obtained from the Bank of Ghana also show that MoMo transactions increased by about 177% between 2013 and the first quarter of 2018. These transactions where valued at over GH¢52.35 billion.
The Government of Ghana has sought to enhance this payment platform with the introduction of the Mobile Money Interoperability (MMI). This initiative was implemented in two phases, with the completion of phase one seeing mobile money users being able to send and receive money across different networks. A fete achieve through the ingenuity of the Ghana Interbank Payment and Settlement Systems (GhIPSS). So far, over 287,822 transactions in volume and GH¢25.36million in value have been recorded under Phase I of the MMI.
Phase two of the MMI was launched in November 2018. This phase sought to link mobile money wallets to the e-ZWICH platform; Africa’s first biometric electronic payment system. Some benefits derived from the MoMo platform are convenience in transacting business, reduction in cash payments, lower transaction cost and above all boosting the drive for financial inclusion.
Financial Inclusion is defined by the World Bank as a means by which individuals and businesses have access to useful and affordable financial products and services that meet their needs – transactions, payments, savings, credit and insurance – delivered in a responsible and sustainable way. To be continued.