Vice President Dr Mahamudu Bawumia has urged African countries and all banks on the continent to embrace digital technology in order to take advantage from the enormous benefits therein.
Speaking during the 25th National Banking conference on the theme “the digital economy of Ghana the strategic role of the banking industry” on Thursday November 18, he said “Countries under the free trade area in Africa must embrace all the opportunities brought by digitalization. This will alleviate the poverty levels within the region.
“Banks will benefit from a larger market share. Cross border trading financing arrangement under the AfCFTA can increase the profitability of the banks, expand their asset base.”
For her part, President of the Ghana Bankers Association, Madam Patricia Sappor revealed that the value of mobile money transactions for the first four months of this year totaled ¢301.1billion whiles that of cheque transaction over the same period amounted to ¢68.3bn.
She indicated that if this trend persists, the total value of mobile money transactions will surpass cheque transactions by far more than 389bn recorded for the whole year of 2020.
She said “The value of mobile money transactions for the first four months of this year totaled 301.1billion whiles that of cheque transaction over the same period amounted to 68.3bn.
“If the trend continues which I believe will, the total value of mobile money transactions will surpass cheque transactions by far more than 389bn recorded for the whole year of 2020.
Her comments come at a time the government has inr6duced tax on mobile money transaction in the bduegt statement for he 2022 fiscal year.
The Finance Minister Ken Ofori-Atta announced a new levy to be charged by government in 2022 on all electronic transactions to widen the tax net and rope in the informal sector.
“It is becoming clear there exists enormous potential to increase tax revenues by bringing into the tax bracket, transactions that could be best defined as being undertaken in the ‘informal economy’,” Mr Ofori-Atta observed on Wednesday, November 17 as he presented the 2022 budget statement in Parliament.