Finally, our financial services sector has achieved a great landmark with the introduction of a funds transfer service that will enable cash to move from a bank account in one bank to another bank for the recipient to instantly access just like a mobile money transfer.
This is a huge departure from the current system where such interbank transfers or direct debits become available to the recipient between 24 hours and 48 hours.
This new feat introduced by the Ghana Interbank Payments and Settlements System (GhIPSS) will usher Ghana’s economy more deeply into a cashless society.
It will also enable banks to effect instant transfers from one account to another, irrespective of the bank, the gh-link E-commerce, and online payment system.
We believe that this innovation would further facilitate a massive shift from using cash and paper currency to effect payments to the use of clicks and electronic channels.
We would want to appeal to the general public to embrace this new service to bring an end to the era when banking halls were filled with people transacting businesses that could otherwise have been transacted through electronic means.
It is not surprising at all that the Ghana Association of Bankers (GAB), online e-commerce merchants, public sector agencies, large and small organizations and companies, are optimistic this feat will greatly improve the financial sector.
Although the buying and selling of items online is booming in the country, the associated payment systems have been slow to develop and we believe the gh-link E-commerce could be seen as a perfect solution to that challenge.
In addition, corporate and individual customers of banks are able to make direct debits and credits between 24 and 48 hours through the GhIPSS Automated Clearing House (ACH).
This is the way to go and we entreat banks which have not signed on to this to quickly do so, likewise public sector institutions such as the Registrar General’s Department, the utilities and the Controller and Accountant General’s Department to avail and ready their systems to receive and effect instant transfers to enhance the efficiency of national institutions.
We call on banks to buy into the service and devote resources to promote it for it to become accepted.
We must keep in mind that driving traffic through GIP would, therefore, increase cash flow in the banking system, which would be to the advantage of banks and the society.
Also, we will all prevent losing money to robbers, fire or fraud since keeping money in the bank is as good as having it in your pocket.
We believe that the Bank of Ghana, which wholly owns GhIPSS, is gradually executing its mandate of moving the economy into a cash-lite society with an agenda to make e-payments the norm, rather than the exception.
