The Sustainability Manager of Miniplast Limited, Dr Paa Kwesi Eduaful Abaidoo, has said that digital submission of supporting documents for foreign payments can help cut payment delays and make cross-border transactions more efficient.
He said allowing businesses to upload the required documents from their offices could reduce the time spent processing foreign payments, instead of requiring them to physically submit the documents to their banks.
Dr Abaidoo was speaking at the third-quarter Graphic Business/Stanbic Bank Breakfast Meeting in Accra last Tuesday (Sept 22), held on the theme: “Moving Money.
Moving Trade.
Moving Ghana: Making it easier to sell, buy and pay across borders”.
The forum provided a platform for stakeholders to examine the financial challenges facing businesses engaged in international trade.
Dr Abaidoo added that businesses could upload supporting documents electronically instead of physically submitting them, making the process more seamless.
“Making cross-border payments easier is ultimately about helping businesses receive supplies on time, get their goods delivered and manage their costs,” he said.
He said payment delays could affect suppliers' ability to begin production or deliver goods, creating additional costs that could eventually be passed on to businesses and consumers.
Dr Abaidoo explained that another way of reducing delays was to use more direct payment routes where available.
He said faster, cheaper and more predictable payments would help businesses trade more efficiently.
He cited the Cross-Border Interbank Payment System (CIPS) as an option for eligible China-related transactions, particularly where payments were made in Chinese yuan.
He further mentioned that the Pan-African Payment and Settlement System (PAPSS) for intra-African trade could help businesses overcome some of the delays, costs and uncertainties associated with international payments.
Dr Abaidoo also likened payments that passed through several banking intermediaries to travelling through multiple transit airports, saying a direct payment route could reduce uncertainty over when funds would reach the recipient.
“If we can process the payment faster, cheaper and more predictable for a business, be it in Makola or be it in Thailand, we will not only move money.
We will move trade and help grow Ghana,” he said.
He added that businesses should consider the destination, currency and speed required when choosing a payment channel.
