Bank of Ghana allays concern over eCedi’s impact on mobile money – BitcoinKE
According to reports, the Bank of Ghana (BoG) has assured that the upcoming eCedi will not spell doom for other financial players, especially mobile money operators.
Clarence Blay, Deputy Director of Fintech and Innovation at BoG, while attending a stakeholder forum organized by Mobile Money Ghana Limited, a subsidiary of MTN Ghana Limited, reportedly indicated that the bank is keen to protect the current financial ecosystem in Ghana, and the eCedi would not compete with existing players but rather complement the system.
“One of the key principles guiding the deployment of eCedi is to complement already existing mobile money operations. eCedi will not supplant the already existing platforms, but rather enhance Mobile Money services, making them more dynamic and effective.
– Deputy Director, Fintech and Innovation, Bank of Ghana (BoG)
If that was not reassuring enough, the official added that the Bank of Ghana was looking to boost the operations of mobile money operators in Ghana, saying that some industry players had attested to some of the expected benefits of their money operations. mobile.
According to the Deputy Chief Innovation Officer, the benefits include:
- Cost reduction
- Improving regulatory efficiency
- Deepen interoperability
- Integration of payment service delivery
Meanwhile, Eli Hini, the CEO of MTN’s mobile money operations in Ghana, agreed with the Bank of Ghana official to allay concerns about the CBDC’s potential impact on the industry. flourishing.
According to Hini:
“We believe that the successful implementation of eCedi will improve the efficiency of our settlement systems. Second, the eCedi will reduce the carrying of cash by agents. With an e-Cedi account, transferring cash will speed up transactions. Finally, digital currency will speed up cross-border trade, while reducing the risk of carrying cash in bulk.
– CEO, Mobile Money Ghana Limited
Ghana, alongside Kenya, is the leading country in mobile money adoption globally, and the World Bank has recognized Ghana as the fastest growing mobile money market in Africa in the world. over the last 5 years.
See also
The study, Five Strategies for Mobile Payment Banking in Africafound that transactions via mobile wallets and phones were equivalent to:
- 87% of GDP in Kenya
- 82% of GDP in Ghana
In Kenya, however, the Governor of the Central Bank of Kenya is treating CBDCs with caution, fearing it will affect the country’s vibrant mobile money sector.
