Surge in August Momo Transactions – BoG Reports

The number of Mobile Money (MoMo) transactions in the month of August saw a jump from around 500 million to a little over 600 according to the Summary of Economic Financial Data of the Bank of Ghana (BoG).

It marks the second consecutive increase after the number of transactions fell from 563 million in May 2023 to 532 million in June 2023.

In July, transactions rocketed to 564 million, the highest in nine months at the time.

Per the BoG’s data, August recorded 601 million transactions with 21.6 million active mobile money accounts despite 62.3 million registered mobile money accounts.

Meanwhile, the total value of transactions in August 2023 decreased to 161.8 billion from 169.6 billion in July.

The increase in transactions has been ascribed to the reduction in the rate of the Electronic Transfer Levy (E-levy).

The E-levy initially regulated by the Electronic Transfer Levy Act, 2022 (Act 1075) was introduced in the 2022 Budget at a rate of 1.75% but was later reviewed to 1.5%.

Following advocacy and reduction in MoMo transactions in the course of its implementation, the rate was reviewed to 1% effective January 2023.

The rate applies to mobile money transfers done between accounts on the same electronic money issuer; mobile money transfers from an account on one electronic money issuer to a recipient on another electronic money issuer; transfers from bank accounts to mobile money accounts; transfers from mobile money accounts to bank accounts; and Bank transfers on an instant pay digital platform or application originating from a bank account belonging to an individual subject to a daily threshold to be determined by the Minister of Finance.