The CEO of Opportunity International Savings and Loans, Mr. Kwame Owusu-Boateng has commended MTN Ghana on their fifth anniversary of MTN Mobile Money. Speaking on the theme, “5 years of MTN Mobile Money: expanding cashless payments in Ghana through mobile wallet transactions,” Mr. Owusu-Boateng stated that as at December 2013, Ghana had 24 registered Savings and Loans, 25 Finance Houses, 390 licensed Microfinance companies and 92 Microfinance companies with provisional licenses.
Despite this huge number of Non-Bank financial institutions and MFIs, over 60% of the bankable population in Ghana are still unbanked.
In December 2012, only 29% of Ghanaians had bank accounts, out of which 37% had savings accounts, and 35% had access to credit. This huge untapped market create opportunities for Telcos who have over 99.7% mobile phone penetration and over 24.4 million subscribers to drive the country to a cashless economy through the use of mobile money technology.
Networked financial institutions and Mobile Money operators promise convenience, safety, security and affordability in the movement of cash across the country. Especially with the emergence of sophisticated crime on our high ways all targeted at cash held by travelers, the use of mobile technology becomes more critical.
“Ghana will continue to be a heavily cash dependent society if the mobile money technology is not embraced,” said Mr. Owusu-Boateng. Mobile banking remains the most reasonable means to create a successful cashless economy. But most people with mobile phones lack access to basic banking services. This is where microfinance institutions have a very strategic role to play in promoting Mobile Money wallet transactions because they serve clients at the base of the pyramid which forms the largest section of the population of Ghana.
Since Opportunity International Savings and Loans’ collaboration with MTN for Mobile Money Transfer service since July 2011 to date, their total Transaction Value stands at GHS12,837,195 and a total Transaction Volume of 109,274.
The emerging social and economic impact of mobile money cannot be over emphasized. Businesses can operate more effectively: shop-owners do not need to carry a lot of cash, or to stand in long queues at banks to transfer money to suppliers. Generally, life is made easier.
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