Analyse decision to re-introduce fees on electronic transactions – GBA to GhIPSS

Analyse decision to re-introduce fees on electronic transactions – GBA to GhIPSS

The Ghana Association of Bankers (GAB) is aiming at setting up a meeting between the Ghana Interbank Payment and Settlement Systems (GhIPSS), and the Governor of the Bank of Ghana (BoG) over the former’s decision to re-introduce fees charged on electronic transactions.

GhIPSS has in a statement to banks and other partner agencies, announced that it will from May 23, 2020, resume the charging of fees on the following services:

Mobile money interoperability, GhIPSS instant pay, Banks & Fintechs offering Instant Pay services to their respective customers, and banks leveraging the ACH Direct Credit platform for bulk payments such as salaries.

The fees were waived in March this year as part of measures to reduce the economic impact on individuals and also to limit the spread of the novel coronavirus by encouraging cashless transactions.

A statement signed by the CEO of the Ghana Association of Bankers, Daniel K. Mensah, said, banks had earlier communicated to their customers about the waiver which is expected to last throughout the pandemic, hence any decision to re-introduce the fee-charges on transactions will be detrimental to the image and credibility of the banking industry.

GhIPSS is yet to respond to this call by the Ghana Association of Bankers.

GhIPSS waives fees off electronic transactions

As part of efforts to promote and encourage the use of digital payment options to limit the possible spread of the coronavirus through physical cash, the GhIPSS in March said it has waived off fees on all electronic payments services used by its partner financial service providers.

The fee waiver which was introduced from Monday, March 23, 2020, was regardless of the volume and value of transactions.

In a statement, the GhIPSS said that this is “pursuant to the measures outlined by the Central bank of Ghana, as part of efforts to contain the impact of the COVID-19 pandemic on the Ghanaian economy and also to promote the use of electronic payment services.”

About GhIPSS

The Ghana Interbank Payment and Settlement Systems Limited (GhIPSS) is a wholly-owned subsidiary of the Bank of Ghana.

It was incorporated in May 2007 with a mandate to implement and manage interoperable payment system infrastructures for banks and non-bank financial institutions in Ghana.

In line with its mandate, GhIPSS has implemented and currently manages the following:

  • National Switch & Biometric Smart Card Payment System – E-zwich
  • Cheque Codeline Clearing (CCC) System
  • Ghana Automated Clearing House (GACH) systems – Direct Credit & Direct Debit
  • National Switching and Processing System – gh-link.