Ghana has an advantage in the digitization race as Africans says Governor of the Bank of Ghana, Dr Ernest Addison.
He attributes this to the tech-savvy youthful population, widespread mobile phone usage, consistent expansion of mobile network access and significantly, the rising homegrown FinTech solutions.
Dr. Addision expressed that these have given Ghana and the world a remarkable shift with the rapid emergence and evolution of financial digitalization and transactions.
“The actualization of novel technologies in the payment ecosystem has revolutionized business transactions, reshaped customer behaviour, and redefined the nature of commerce. Presently, we stand on the precipice of a global digital era, and it could not be more imperative than now that Africa embraces and accelerates the digitalisation progress in trade and finance to level the playing field globally,” he continued.
He was speaking at the launch of the maiden 3i Africa Summit 2024 in Accra on Monday, February 26.
The Governor of the Bank of Ghana however raised key concerns on the need for adequate funding to ensure these Financial Technologies (FinTech) keep up with new smart ideas and also comply with the country’s rules and regulations.
He revealed “Without sufficient capital, brilliant ideas, and prototypes of FinTech startups solutions with the potential to address the diverse financial service needs have failed to progress to production. Furthermore, a FinTech is only as strong as its members and in that same vein, a lack of funding could ultimately impact a FinTech’s ability to attract and retain premium talent.”
“The regulatory aspect is another major reason we cannot ignore the issue of deficient funding in the FinTech space. This could hinder FinTech companies’ ability to navigate regulatory requirements and meet compliance standards, which we all agree are non-negotiables, especially in Ghana’s and Africa’s financial industry.”
“From the regular engagement with FinTech startups as part of the Bank’s innovation nurturing role, it has emerged that most of these nascent companies generally lack investor visibility. Hence, the need to address the information gap between investors and FinTech startups to stimulate the payment ecosystem. This will help unleash the full potential of FinTech startups to contribute meaningfully to the economic development of the African continent.”
It is against this backdrop that Ghana and Africa as a whole are gearing up for Digital Financial Transformation with the 3i Africa Summit.
The Summit is scheduled to take place in Accra from May 13 to May 15 under the theme ‘From Innovation to Impact: Investing in Africa’s Financial Sector to drive Africa’s Transformation’.
The upcoming 3i Africa Summit is designed as a platform for governments, businesses, investors, regulators, innovators, and thought leaders to discuss and collaborate on measures to unlock Africa’s full potential by harnessing the potential of FinTech.
It is premised on innovation, investment, and impact, and is being organised by the Bank of Ghana and Development Bank Ghana, in partnership with the Monetary Authority of Singapore through its subsidiary, Elevandi, organisers of the globally acclaimed Singapore Fintech Festival (SFF).
Invited Heads of State are H. E. Tharman Shanmugaratnam President, The Republic of Singapore, H. E. Samia Suluhu Hassan, President
The Republic of Tanzania, H. E. AI-Assane Ouattara, President The Republic of Cote D’ivoire and H. E. Dr. William Sai.Ioei Ruto, President The Republic of Kenya.
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Source: Aba Aikins/ATLFMNEWS