MAS to cooperate with Ghana to open trade and financial corridor
It will work with the Bank of Ghana and the Development Bank of Ghana for the project.
The Monetary Authority of Singapore (MAS), Bank of Ghana (BOG) and Development Bank Ghana (DBG) has signed a Memorandum of Understanding (MOU) to develop the Ghana Integrated Financial Ecosystem (GIFE).
The GIFE aims to enhance financial capabilities and access for micro, small and medium enterprises (MSMEs) in Ghana and generate greater opportunities for trade and financial services cooperation between Singapore and Ghana.
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The GIFE will offer an open digital infrastructure for MSMEs in Ghana and Singapore in four key areas. One is the SME Financial Empowerment Programme which will help MSMEs build foundational digital financial literacy skills and gain a good understanding of cross-border financial services.
MSMEs in both countries can also access a network of business-to-business e-commerce platforms. DBG and partner financial institutions will provide digital trade finance and
guarantees for eligible MSMEs through a digital platform.
MAS, BOG, DBG and financial institutions will jointly develop financial trust frameworks to assess credit-worthiness for financing by enabling financial institutions to use alternative data sets, such as the track record of successful payments to suppliers and tax payments to relevant authorities.
The GIFE is a collaborative effort across public entities, financial institutions, FinTechs and tech solution providers in Ghana and Singapore. These include Proxtera, Consolidated Bank of Ghana, ANEXT Bank, Enterprise Singapore, and the Global FinTech Institute.