Fund transfers from one mobile network to another is recording steady increase since mobile money interoperability came into being on 10th May, this year. This shows there is increasing awareness and public confidence in the new system.
In the first 7 days of mobile money interoperability, a total of 28,000 transfers valued at about GH¢2.3million were made. But by the next 7 days the total volume had gone up by about 30 percent to 36,181 transfers valued at about GH¢3.3 million, representing an increase of over 44 percent in terms of value, with indications that the volume and value will keep rising.
With the launch of mobile money interoperability, customers, are now able to transfer funds from one mobile money wallet to another wallet across networks. This eliminates the former complexities and inconveniences associated with transfers across the various networks in the country.
Mobile money interoperability has also been seen as an important vehicle to deepen financial inclusion because it enables people who do not have bank accounts to be roped into the banking system, as any money kept in a mobile money wallet is actually held at a bank.
The Chief Executive Officer of Ghana Interbank Payment and Settlement Systems (GhIPSS), Archie Hesse, said the rollout of mobile money interoperability has been smooth. He explained that mobile money is a major deal-breaker and making it interoperable opens up the space for people to perform basic financial transactions. “We see transactions as low as 5 cedis, 10 cedis – and some also transfer huge values, so MoMo works for both very low- and high-income earners.”
Mr. Hesse said with cross-network money transfer now a reality, Fintechs and financial institutions should design financial products that can meet the needs and abilities of low income earners.
The GhIPSS CEO also challenged the Fintechs to come out with solutions that enable merchants to accept mobile money as payment through a shorter and simpler payment procedure. He is upbeat that the introduction of various products based on MoMo will significantly drive its usage as well as reduce cash-based transactions.