Over the years, Ghana has steadily moved from a heavily cash-based economy to one that embraces secure, seamless, and technology-driven transactions. Ghana has emerged as a thought leader in digital payments and financial inclusion, with its trajectory reflecting deliberate strategies at moving the economy into a cash lite one. This approach highlights a key role of the Ghana Interbank Payment and Settlement Systems (GhIPSS) in creating payment platforms for the use of many Ghanaians. From biometric payment cards, real-time interbank transfers to mobile money interoperability and QR code payments, Ghana’s digital payment platforms have become critical elements of the financial ecosystem that supports innovation, inclusion, and economic growth since its establishment by the Bank of Ghana in 2007.
As we celebrate the Ghana Cedi and its evolution over the decades, this digital transformation stands as a testament to how far the national currency has come not just in physical form, but in how it is seamlessly transacted and experienced across modern platforms.
The Role of Infrastructure and Private Sector Support
In an effort to meet the goal of kick starting digital payments and achieve widespread digital inclusion, Ghana through GhIPSS begun to implement practical applications and payment platforms and collaboration with stakeholders to enhance payments systems in the country. Its suite of interoperable and instant payment solutions has redefined how individuals and businesses transact, making payments faster, more secure and widely accessible.
The Evolution of Digital Payment Platforms
Ghana’s journey towards cash lite economy began with the introduction of the e-zwich in 2008 through the efforts of the Ghana Interbank Payment and Settlement Systems (GhIPSS). This platform reflected the nation’s strategic commitment to financial inclusion and digital transformation. The platform introduced as one of the earliest biometric-enabled payment solutions in Ghana, promotes secure, fast, and cashless transactions. Built on biometric smartcard technology, it offers users the convenience and freedom to transact.
With fingerprint authentication, e-zwich ensures that transactions are highly secure and personalized, reducing fraud and enhancing financial access especially for the unbanked and underbanked segments of the population. It has served as a payment platform for many governmental initiatives and institutions like LEAP, National Service Secretariat (NSS), and Forestry Commission among several others. This has been a game changer in addressing the issue of beneficiary identification and deduplication with payments in Ghana.
Modernizing Traditional Systems
Cheque codeline clearing implemented in 2009 ensures that clearance of cheque is done within a day. The system, aimed at eventually phasing out the then manual paper credit clearing system was part of efforts to modernize and streamline interbank settlement of cheques.
Domestic Card Solutions: gh-link
As digital transformation progressed, GhIPSS launched the first domestic EMV card scheme, the gh-link card. A true flagship innovation, it was designed to provide a cost-effective alternative to international card networks, ensuring that local card transactions are processed within the country. This did not only reduce transaction fees for consumers and merchants but also strengthened data security and local control of payments infrastructure.
A major advantage of the gh-link ecosystem is its interoperability. By interconnecting all banks and financial institutions in Ghana, gh-link enables seamless ATM withdrawals, point-of-sale (POS) transactions, and online payments and interbank transactions.
Pioneering Instant Payments and Interoperability
Another groundbreaking initiative by GhIPSS was the GhIPSS Instant Pay (GIP) platform which has birthed a lot of services and products. This includes the Mobile Money Interoperability (MMI), GhQR and the bank-wide wallet, GhanaPay mobile money services.
In 2018, MMI was a game changer, a digital transformation that allowed Ghanaians to move money across networks. Interoperability reduces the cost of initiating transactions across networks; as customers will no longer need the services of a third-party (Agent) to initiate transfers across networks. Customers are able to send and receive money directly to and from each other irrespective of the network they are on; allowing Ghanaians more convenience and security.
The system further deepened financial inclusion and promoted cashless transactions in Ghana. It served as a viable vehicle for financial intermediation; businesses and individuals could accept mobile money from other network users seamlessly.
GhQR: Simplifying Merchant Payments
GhQR revolutionised merchant payments in Ghana. For merchants and small businesses, the cost of setting up electronic payment systems has historically been prohibitive. GhQR addresses this challenge by providing a simple, low-cost alternative to POS terminals. Customers can pay instantly by scanning a QR code or dialling a USSD code, making digital transactions more inclusive, particularly, for small businesses in the informal sector.
GhanaPay: Bank-Led Financial Inclusion
Recognising the dominance of mobile money in Ghana’s financial ecosystem,
To enable banks’ active participation in the Mobile Money ecosystem. GhIPSS introduced GhanaPay Mobile Money, the first bank-led mobile money service. Unlike traditional mobile money platforms, GhanaPay integrates seamlessly with banking services, offering users access to savings, bill payments and even interest on wallet balances.
GhanaPay is redefining affordability in mobile financial services. GhanaPay is open to all Ghanaians, whether they have a bank account or not – ensuring that financial services reach even the most underserved communities. With over 68% of Ghanaians now financially included, GhanaPay is looking to serve as a key driver in the country’s financial empowerment agenda.
Driving Economic Growth Through Financial Inclusion
Initiatives embarked on by GhIPSS are not just about convenience, but also fundamental to Ghana’s economic development.
Digital transactions provide a clear financial footprint, allowing businesses to access credit and investment opportunities. Informal traders, who make up approximately 80% of Ghana’s workforce, now have better access to financial tools that were once out of reach. By integrating digital payments into daily commerce, GhIPSS is laying the foundation for a stronger, more inclusive economy.
Ghana’s approach to digital payments is setting a precedent across Africa. Unlike many countries that rely solely on mobile money providers, Ghana’s interoperable framework ensures seamless transactions across banks, fintechs and mobile money operators. This model enhances competition, lowers costs and fosters innovation.
GhIPSS continues to work closely with banks, fintechs and government agencies to enhance awareness and build trust in digital payments. With continued innovation and stakeholder collaboration, GhIPSS is well-positioned to drive Ghana’s financial sector well into the future.