Despite the debilitating impact of the COVID-19 pandemic on the lives of individuals and the operations of businesses in Ghana, digital payment and settlement products under the Ghana Interbank Payment & Settlement Systems (GhIPSS) saw phenomenal increases in both volume and value for the first three quarters of 2020 compared to the same period in 2019.
A third-quarter industry performance report released by GhIPSS shows that the volume and value of digital transactions using products and services like the GhIPSS instant pay, Mobile Money Interoperability, E-zwich and GH-Link among others, all together went up by 102 percent and 24 percent respectively for the first 9 months of this year compared to the same period last year.
According to the report, total volume of digital transactions in Ghana increased from 25.33 million between January to September last year, to 51.12 million over the same period this year.
When it comes to the value of digital transactions, it went up from GHS157.03 billion in the first 9 months of 2019 to GHS195.27 billion during the same period in 2020.
A comparison of the last two quarters of 2020 shows that, whereas there was a negative 7 percent decline in transaction value in the 2nd quarter, there was a 51 percent increase in the 3rd quarter.
The impressive 3rd quarter performance is largely attributed to the easing of COVID-19 restrictions resulting in a boost in economic activities.
Further comparative analysis of the 1st to 3rd quarter performance of 2020 to the same period in 2019 shows major growth in E-zwich, GIP and MMI transactions.
The clearing-house recorded marginal growth but GH-link transactions recorded a decline.
According to GhIPSS, a review of the current performance trajectory shows that it’s on its way to process about 17 million transactions in the last quarter of 2020 to end the year with a growth of 79% over the 2019 performance.
Mobile Money Interoperability and GhIPSS Instant Pay are predicted to account for 61% of this forecast.
Winners per the report in the industry going forward will be financial institutions who are agile in delivering products that offer speed, security, convenience and rich customer experience.
On the issue of fraud, a closer synergy among industry players to move fraud issues to the front burner at both the individual and ecosystem levels is recommended.