Ghanaians Abroad remit over $300m through Western Union

THE operations of Western Union Money Transfer has brought over $300 million into the country since its inception in 1994.

As a result, remittances into Ghana constitute the fourth biggest source of inward foreign exchange transfer into the country, after cocoa, gold and tourism.

Mr E. Boakye-Agyeman, Deputy Managing Director of the Agricultural Development Bank ADB said this at the launching of Western Union Money Transfer at ECOBANk in Accra yesterday.

Ecobank Ghana Limited has linked up with Western Union through ADB to provide money transfer services at its branches in the country under the slogan “A partnership of reliability and excellence”.

Mr Boakye-Agyemang said foreign currencies generated from such operations are channelled into the national economy and also in support of companies that make demands on the economy for foreign exchange.

He said Western Union earnings are used to support areas that enhance the country’s GDP and without these earnings, government and banks will have to find scarce foreign exchange to import items.

“For example, ADB provides 86 per cent of institutional financing in Ghana. This can be seen in the importation of outboard motors for fishermen, fertilisers and chemicals for farmers,” he said.

Mr Boakye-Agyeman said the introduction of Western Union Money Transfer to Ghana has eliminated the problem of loss of money through friends and relatives that hitherto, was the case, adding that no one has lost any money through their services.

He commended Ecobank for joining as an agent of Western Union and said as collaborators, their efforts will lead to the benefit of the money transfer business in Ghana.

Mrs Adelaide Mary Benneh, Advisor to the Governor of the Bank of Ghana, who was the Guest of Honour, said banks should intensify their deposit mobilisation drive to mop up excess liquidity in the hands of the non-bank public.

She said though banks have succeeded in inculcating banking habits in Ghanaians, lot of money is still outside the banking system.

She also expressed concern about the high level of cash transactions in the economy, although some banks have introduced non-cash payment instruments.

“ The need for financial deepening is of prime importance to the central bank because of the high cost of printing and distributing large volumes of cash by the central bank and the risk of loss to cash holders,” she said.

Mrs Benneh, therefore, called on the banking industry to sustain and develop non-cash state-of-the-art products to improve and enhance efficiency in the banking system.

She called on banks involved in inward remittances not to hold on to excessive foreign currency in their offshore accounts at the expense of domestic business.

Mr E. P. L. Gyampoh, Chairman of the Board of Directors, Ecobank Ghana, said the bank is proud to be associated with Western Union, since the latter is a worldwide leader in money transfer services .

He said though Ecobank is quite young, it has come a long way in its operations and its desire to offer money transfer services will go a long way to enhance its efficiency and excellence.

Mr Jean Nelson Aka, Managing Director of Ecobank, said the bank has joined in the partnership because it shares Western Union’s commitment to customers to deliver world-class quality service.

He said the service will be available in Ecobank branches in Accra, Tema, Takoradi and Kumasi.