Home Business Cheques could quickly be obsolete – Bawumia predicts

Cheques could quickly be obsolete – Bawumia predicts

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Vice President Dr. Mahamudu Bawumia has predicted that the rapid evolution in Ghana’s payments program in the context of the digitisation agenda will quickly render cheques out of date in the payment for goods and solutions.

Speaking at the closing ceremony of the 2019 diaspora summit on Saturday, the Vice President emphasised that with the introduction of cellular income interoperability, the use of cheques is in drop.

At the moment,  mobile dollars payments account for 70% of payments and cheques are continuously getting rid of ground to digital payments.

The Vice President pointed out that the scenario for cheques is only going to worsen with the imminent introduction of a Universal QR CODE for payments system in Ghana which will final result in instant payment and crediting of accounts, cheques will slowly and gradually grow to be out of date in Ghana as is the case in nations around the world like Namibia.

The Universal QR CODE will imply that retailers in Ghana no for a longer period will need a Position of Sale machine to acquire payments. They will only need to have a cell mobile phone. Merchants as smaller as street food suppliers will be covered by the Universal QR CODE. Their bank or mobile income accounts will be instantaneously credited.

“If your account can immediately be credited why will you bother with Cheques?” the Vice President questioned.  

Nations that have lately released the Common QR CODE method involve Singapore, India and China.

The start of the Cellular Cash Interoperability Process by means of the Ghana Interbank Payment and Settlement Units Restricted (GHIPSS) by the Financial institution of Ghana on May perhaps past year was aimed at getting rid of the complexities and inconveniences connected with transfers across the many cell networks. This is creating it attainable for the accelerated advancement in the cashless economic system envisaged by the Akufo-Addo administration.

The ordinary transaction for every month with the introduction of cellular money interoperability for last calendar year was pegged at about 280, 000 transactions, a big difference of around 200%. Cross community cellular revenue transfers ended up carried out about 2.2 million times among May possibly and December last 12 months.

The Mobile Revenue Interoperability Technique is of immense significance to Ghanaians due to the fact it saves time and money used on travelling to the agent for cashing-out. The receiver receives instantaneous obtain to electronic funds.

It is safer as there is currently a escalating human body of study that exhibits that when a culture takes advantage of a lot less income, the fee of criminal offense goes down and the feeling of own protection.





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