By Joshua Worlasi AMLANU
Ghana’s push toward a cash-light economy is facing a slower-than-expected uptake of digital payments by businesses, according to findings from a new nationwide study by the Ghana Statistical Service (GSS) and Research for Financial Inclusion and Development (ReFinD) initiative.
The report, which forms part of the 2024 Integrated Business Establishment Survey (IBES), shows that only 37 percent of firms across the country currently accept or use digital payment platforms. Adoption is particularly low in the agricultural sector, where firms are least likely to use such services.
While this data underscores the transformative potential of digital finance for business growth and financial inclusion, uptake remains heavily concentrated in Greater Accra and a few regional capitals. Knowledge gaps, fears of frau and uncertainty over financial returns continue to limit broader adoption, especially among smaller enterprises.
Professor Peter Quartey, Director-Institute for Statistical Social and Economic Research (ISSER), said during the report’s launch that while progress has been made, digital payments remain underutilised in the business sector.
“Although cash still dominates, we’ve made some strides,” he noted. “But constraints like taxation – particularly the e-levy – and security concerns continue to hold back adoption.”
The study finds that most firms using digital platforms still rely on personal mobile money accounts, which are costlier and less efficient for business transactions. Larger companies tend to diversify their usage, leveraging merchant accounts that are more aligned with business needs and help drive revenue growth.
Despite the strong performance of female managers in boosting revenue and the adoption of merchant accounts, women-owned businesses often struggle with limited access to capital – one of the key barriers to greater adoption.
“Female managers tend to be better at managing firms,” said Prof. Quartey. “But the issue is that most women lack the capital to own or expand businesses and that limits their ability to invest in digital finance.”
Francis Annan, an assistant professor of economics at the University of California, Berkeley and a co-lead of the ReFinD project, described the results as “striking”. He said while nearly 95 percent of individuals surveyed have used digital payments as consumers, only about 37 percent of businesses reported doing the same.
“This large gap tells us a lot about selection issues in the market,” Mr. Annan said. “Firms face barriers like lack of understanding and concerns about security. For more educated users, these barriers aren’t binding. But across the broader firm landscape, these constraints are real and they matter.”
He believes that addressing these barriers will not only expand access to finance but also strengthen firm-level productivity and, by extension, the national economy.
“When firms grow, they hire more people, produce more and the entire economy benefits,” he said. “Starting from a low base means our interventions can yield high returns,” he added.
To boost adoption, the report recommends a multi-pronged strategy: improving cybersecurity in digital finance systems; incentivising female-led businesses; expanding digital infrastructure beyond major cities; and strengthening digital and financial literacy among business owners, managers and staff.
The report also advocates inclusive partnerships between academic researchers and ecosystem actors such as fintechs, mobile money operators, banks, regulators and policymakers to co-develop practical, data-driven solutions.
Kenneth Ashigbey, CEO-Ghana Chamber of Telecommunications, stressed the importance of leveraging such insights to design inclusive financial products. “We’ve always known there’s a need to move beyond peer-to-peer to merchant payments,” he said. “The gender gap is clear and we now have the data to guide how we address it.”
Mr. Ashigbey also questioned continued use of the term ‘informal’ in reference to unregistered businesses, suggesting such labels may discourage support for their formalisation and integration into digital ecosystems. He called for a renewed focus on education and outreach, noting that smartphone penetration in areas like Wa is above the national average due to local educational efforts.
“This tells us we need to do more at the community level,” Mr. Ashigbey said. “Working with the Bank of Ghana and Ministry of Finance, we intend using this data to target educational campaigns more effectively.”
Ultimately, the report underscores that while digital finance holds immense promise for Ghana’s business ecosystem, realising its full potential will require deliberate, inclusive and sustained action across the public and private sectors.
