By Fred SARPONG
The Chief Executive Officer (CEO) of the Ghana Interbank Payment and Settlement System (GhIPSS), Fred France, has told BusinessWeek that the introduction of a National Switch system across the country will take effect from August, this year.
He indicated that the rollout of the National Switch system will create a common platform for all banks and is expected to improve the performance of the financial sector.
Speaking in an interview, the GhIPSS Chief Executive said this new system will allow bank customers use any Automated Teller Machine (ATM) cards on any of its system.
Hitherto, a uniBank Ghana ATM card, for example, cannot be used on a Ghana Commercial Bank ATM because the system has not been configured for such purposes.
“This new system allows a CAL Bank customer with his ATM card to withdraw money from an Ecobank ATM machine, without necessarily using an Ecobank ATM card,” he stated.
BusinessWeek learnt that currently it is only the Visa card holders who enjoy that privilege in the country.
“This system will create a lot of convenience for both the banks and their customers in the country,” he added.
Meanwhile, the GhIPSS Chief Executive has called on all universal and commercial banks in the country to start using agents as banking outlets instead of opening more branches.
According to him, in many countries today banks are appointing agents as merchants with a credible track record to act on their behalf to serve their customers instead of establishing physical structures around.
“These merchants are allowed to collect deposit, issue out loans as well as pay interest to the depositors,” he added.
The GhIPSS is a subsidiary of the Bank of Ghana, set up in 2007 and mandated to set up and operate the National Switch with smartcard payment System and the provision of smartcard services; and to manage the Cheque Truncation system.
It is to operate an Automated Clearing House (ACH) for direct debit and direct credit and as well as to operate a help desk to assist the payment system in general. GhIPSS responsibility is to manage, develop and promote these systems on an ongoing basis.
The Chief Executive Officer (CEO) of the Ghana Interbank Payment and Settlement System (GhIPSS), Fred France, has told BusinessWeek that the introduction of a National Switch system across the country will take effect from August, this year.
He indicated that the rollout of the National Switch system will create a common platform for all banks and is expected to improve the performance of the financial sector.
Speaking in an interview, the GhIPSS Chief Executive said this new system will allow bank customers use any Automated Teller Machine (ATM) cards on any of its system.
Hitherto, a uniBank Ghana ATM card, for example, cannot be used on a Ghana Commercial Bank ATM because the system has not been configured for such purposes.
“This new system allows a CAL Bank customer with his ATM card to withdraw money from an Ecobank ATM machine, without necessarily using an Ecobank ATM card,” he stated.
BusinessWeek learnt that currently it is only the Visa card holders who enjoy that privilege in the country.
“This system will create a lot of convenience for both the banks and their customers in the country,” he added.
Meanwhile, the GhIPSS Chief Executive has called on all universal and commercial banks in the country to start using agents as banking outlets instead of opening more branches.
According to him, in many countries today banks are appointing agents as merchants with a credible track record to act on their behalf to serve their customers instead of establishing physical structures around.
“These merchants are allowed to collect deposit, issue out loans as well as pay interest to the depositors,” he added.
The GhIPSS is a subsidiary of the Bank of Ghana, set up in 2007 and mandated to set up and operate the National Switch with smartcard payment System and the provision of smartcard services; and to manage the Cheque Truncation system.
It is to operate an Automated Clearing House (ACH) for direct debit and direct credit and as well as to operate a help desk to assist the payment system in general. GhIPSS responsibility is to manage, develop and promote these systems on an ongoing basis.
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