BoG to partner telcos to push for digital payments
The Bank of Ghana (BoG) plans to deepen its collaboration with the telecommunications companies in a bid to enhance the digitisation of the payment systems in the country.
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This is to ensure that the financial markets, including the banks are fully exploiting the use of technology to enhance operations.
Speaking at the night with the MTN Group Board and other stakeholders, July 6 in Accra, the Governor of the Bank of Ghana, Dr Ernest Addison said that the central bank fully acknowledged these changes and the benefits of ICT and digitisation on the financial system.
“We are looking forward to collaborate with all stakeholders to push the digitisation of Ghana’s payment systems forward,” he stated.
The BoG has engaged stakeholders to strengthen the payment and settlement system to promote interoperability within the financial sector and the various telcos.
“We know there are identified areas of which telcos such as MTN can partner the government to deepen digital services in the country; for example, the national information technology agency is one of the key agencies MTN can expand to extend infrastructure so that many more communities will have access to data,” he said.
“However, it is important to note that MTN has already proven to be a strategic partner to the Ghana Investment Fund through electronic communication which has the mission to provide financial resources to improve basic assets to telephony, internet services, multimedia and broadcasting services for all communities,” he added.
Leveraging on MTN success
The Group Chairman of MTN, Mr Phuthuma Nhleko, said MTN would leverage on its success in the country to partner the government to elevate the digitisation process on the national agenda.
This is to make the telecommunications company sustainably distinct and relevant in adopting innovation and experience to the benefit of its customers.
He said the company would continue to invest in its people, technology, systems and governance processes while ensuring that compliance processes were maintained.
“We are depending on the government to continue to encourage the enabling environment that ensures that smooth and timely running of businesses and their sustainability for reliable infrastructure that supports businesses,” he said.
“MTN cannot be an island onto itself. Achievement of continued success, which means truly distinct customer experience, relevant innovations, business agility and sustainable growth also means we must effectively partner with government,” he said.
He said the rapid technology migration by users across Africa to high- speed network was expected to yield a total high-speed of 3 and 4G connection penetrations of 56 and 60 per cent in sub-Saharan Africa and Ghana, respectively.
Public offer
Mr Nhleko said the telecom giant was currently undergoing partial localisation to become the only Ghana telecoms operator, which is positioned for growth in the short to medium term in the broadband space.
“The offer reaffirms our commitment to Ghana and fills me with a sense of optimism around the future of our business,” the group chair said.
MTN commenced moves to make a public offer last year, after the company had spent US$67.5million to acquire one of the available 4G licences in 2015, which is valid for the next 15 years.
The company is hoping to raise some US $500 million in order to allow interested Ghanaians to own a part of the business by offloading 35 per cent of its shares on the GSE.
“I am inclined to believe that nowhere else is MTN signature value of Can-Do more prevalent than here in Ghana,” Mr Nhleko said.
The company’s plan to go part public by the last quarter of this year was part of the conditions under which it secured the 4G licence in 2015.
The company is currently waiting for the Securities and Exchange Commission to approve its prospectus, even though they have been cleared off all initial issues it had had with its regulators.
