MoneyGram and the Agricultural Development Bank (ADB) in conjunction with Ghana Interbank Payment and Settlement Systems (GhIPPS) have unveiled a new digital transaction platform, which will allow users to send and receive money to over 200 countries.
At a launch ceremony in Accra, ADB’s managing director, Dr. John Kofi Mensah said the new service will expand Ghana’s access to the world’s financial sector.
“The way government has been trumpeting the idea of a digital revolution, especially as trumpeted by our vice-president, a lot of issues have risen,” he said. “So, it was only a matter of time. This collaboration is a long thought out idea to move with the times.”
This is how it works: customers with ADB bank accounts will be offered account deposit services for easier remittances. Funds can be sent instantly via MoneyGram's online platform or at any MoneyGram agent.
The new system will attempt to cultivate Africa’s growing remittance market. In a 2017 World Bank report, remittances to developing countries are predicted to rise 4.8 percent to $450 billion.
“Remittances are a lifeline for developing countries; this is particularly true following natural disasters, such as the recent earthquakes in Mexico and the storms devastating the Caribbean," said Dilip Ratha, a World Bank manager in the report.
“These initiatives are promoting financial inclusion, convenience and improved economic development in the country,” said Bank of Ghana’s first deputy governor Dr. Maxwell Opuko Afari at the launch ceremony.
Transactions will be capped at $8,000 per person, per month. A MoneyGram executive assures customers that the security of customers’ transactions and data is the company’s top priority.
“In terms of protection, there are lots of regulations that ensure that monies are safe and MoneyGram itself has a robust system which we have been using for decades now, so, when it comes to security, it’s not new to us, it is something we do on a daily basis and this one will not be an exception,” said MoneyGram’s regional head for Anglophone West Africa Patrick Appiah.