Demonstrating once again that developing economies are adopting mobile payments at a faster clip than economies where consumers have more financial options, MTN Mobile Money said it has recorded a total of 9.5 million transactions worth GHC 113 million ($58 million) between 2009 and 2011. What's more, the company expects to record 13.5 million transactions worth more than GHC 300 million ($154 million) in 2012. That's an increase of 265 percent in transaction value. 

According to a post on myjoyonline.com, the announcement came at a roundtable forum on Ghana's burgeoning cashless economy hosted by MTN Ghana and Ghana radio station Joy FM. MTN Ghana is a subsidiary of South African telecommunications provider MTN.

During the forum, Ebenezer Asante, sales and distribution executive at MTN Ghana, noted some of the benefits Ghanaian consumers get from a cashless economy, including reduced costs for bank note printing and reduced risk from having to carry and transport cash.

"The net effect of the benefits is business and economic growth through e-commerce promotion, enhanced individual, business and national productivity, with positive impact on job creation and its attendant multi-sectorial multiplier effects," said Asante.

The post said that Ghana has an estimated 93 percent mobile penetration, yet approximately 90 percent of business transactions remain cash-based. Asante told the forum that access to mobile phones combined with the ability to deliver financial services via telephone makes it possible for millions of unbanked consumers in Ghana to participate in financial systems. Additionally, he said, it represents a new market for bankers who once saw the market as unprofitable.

"MTN Mobile Money currently has over two million subscribers on its platform and tens of thousands of them now have e-wallets where their monies are lodged and saved," Asante said. "(T)his creates a money savings habit amongst subscribers and helps in economic growth through better and efficient financial inclusion."

MTN Mobile Money is a program run by the telecommunications company, which lets subscribers make carry out basic financial transactions such as mobile top-up money transfer and bill payment.

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