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e-Cedi rollout will not cause disruptions to MoMo industry - BoG

Bank Of Ghana HQ The Bank of Ghana Headquarters

Mon, 15 Aug 2022 Source: www.ghanaweb.com

Assistant Director in charge of Fintech and Innovation at the Bank of Ghana, Clarence Blay, has given the assurance that the rollout of the central bank’s digital currency also known as the e-Cedi will not cause disruptions in the Mobile Money space.

According to him, the banking sector regulator remains committed to protecting the business of MoMo Agents and the entire mobile money value chain.

Speaking during a stakeholder forum organised by MTN Ghana, Clarence Blay touted the implementation of the e-Cedi as a positive step for the digital currency space.

“Concerning those who are currently facilitating access to digital payments as agents, this is going to be a positive disruption. It means that all the actors in the space are going to benefit. The Central Bank is not going to issue a fiat that everything has to be digital currency,” he is quoted by Citi Business News.

“We recognize that the space is made up of diverse persons with diverse needs and for inclusivity, it is important that the need of everyone is catered for. Some will want physical cash, others will want digital currency. We are not trying to take away cash and replacing it with digital currency. We are responding to everyone’s needs,” Blay explained.

Touching further on how the digital currency will be applied on the Electronic Transfer Levy, he explained, “the e-Cedi is a currency. The Central Bank issues currencies with no tax attached to them. If there’s going to be any levy at all, it’ll be a levy on transactions. But the e-Cedi as it is now, has no levy on it”.

The e-Cedi is expected to serve as a central bank digital currency that seeks to complement digital payments and offer a digital alternative to physical cash which has been designed as a digital replica of the Ghana cedi notes and coins

According to the Bank of Ghana, the e-Cedi seeks to improve Ghana’s digital payments space and drive financial inclusion.

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Source: www.ghanaweb.com
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