Harvey university of ghana business school this study analyzes the impact of mergers and acquisition on performance of the acquiring firm using a ttest to test the difference between the average pre and postacquisition performance indicators. Most existing studies paid little attention if at all to financial intermediation implications of merger. Ghana s central financial regulator, the bank of ghana has set down new guidelines for mobile and electronic money services in ghana. A glance at any business newspaper or business news web page will indicate that mergers and acquisitions are big business and are taking place all the time.
Mergers and acquisitions edinburgh business school. This publication is intended to provide a quick overview of the business environment in ghana. The impact of mergers and acquisition on the financial performance of west african banks. In ghana, mobile money has developed rapidly since its launch in 2009 by the largest mobile network operator mtn. The service is now offered by four different mnos in the country, serving over 19,7 million registered customers out of which 8,3 million are active users and 107. This can be accounted for by the stable income in the country as. Developments in money, credit and interest rates 11 stock market developments 12. Tanzania, zimbabwe, ghana, uganda, gabon, paraguay and namibia are using mobile money.
Mtn mobile money spotlight on ghana mobile for development. From a humble start in 2009, mobile money solutions now account for cash flows. The change followed yahoos sale to verizon vz, which also owns. Bank performance, mergers and acquisitions in ghana. The new sets of regulation the guidelines for e money issuers in ghana pdf has make it mandatory for telcos currently providing mobile financial services in concert with banks to set up a separate business entity to handle the electronic money. The curse of ghanaian businesses now are mergers and. Bharti airtel and tigo merge in ghana to form airteltigo reuters. Harvey university of ghana business school this study analyzes the impact of mergers and. Opportunities for mobile money business continuous regulatory amendments, leverage new laws e. The impact and challenges of mobile money transfer. Access bank plc nigeria and sg ssb ghana, that were involved in mergers respectively in. The biggest mergers, acquisitions and name changes of the year.
Finally, to enhance the legal and regulatory framework, the bank of ghana supervisory functions are designed to be consistent with the basel core principles for effective banking supervision. Ghana s economy has experienced a windfall of merger and acquisition activity recently. This has necessitated several structural changes in the operations of the companies involved. I have already received several payments from clients in ghana through mobile money.
Intercontinental bank plc will cease to exist by march 2012, as access bank plc said, tuesday, that it would conclude the ongoing merger process between both banks by march 2012. News ghana is ghana s leading online news portal for business in west africa and around the world. State of the industry report on mobile money decade edition. Mtn launched the mtn mobile money service in ghana at the end of july and already have over 20,000 customers to date and around 1,200 mobile money. This study evaluated the impact of mergers and acquisitions which started in 2005 on the performance of deposit money. The impact of mergers and acquisition on the financial. The role of mergers and acquisitions in firm performance. Mergers and acquisitions edinburgh business school ix preface an understanding of mergers and acquisitions as a discipline is increasingly important in modern business.
Research report making sense of mobile money in urban. Bank of ghana guidelines for emoney issuers in ghana dfs. A qualitative exploration of mobile money in ghana compass 18, june 2022, 2018, menlo park and san jose, ca, usa with 59% of the population currently paying for insurance, 67% actively saving and 40% of the population investing money 18. The bank of ghana has merged five banks into a consolidated bank of ghana limited. The pre and post merger performance of firms in ghana. The product is a collaboration between mtn ghana, ecobank capital ghana and ecobank ghana. Send money to mtn mobile money accounts worldremit. Money mobile money state of the industry report on. Doing business and investing in ghana 2018 is published by pricewaterhousecoopers pwc ghana. To illustrate, a firm situated in the northern region of ghana with no branches beyond the northern region may decide to merge with a company located in the central region of ghana. But after revising its approach to regulation and passing e money issuer guidelines in 2015, the country saw dramatic growth in the adoption of dfs. Smergers business for sale, investors and franchise. The ghana commercial bank was established in 1953 as the first indigenous bank to reduce the control of the banking sector by the two expatriate banks.
With this in mind many citizens in africa care less of owning a bank account. The ghana firm, which is a full member of the network of firms of pwc, has. Africa is indeed the last remaining frontier of economic boom. Money is added instantly to mtn mobile money accounts. Access bank plc nigeria and sg ssb ghana, that were involved in mergers respectively in 2003 and 2005. Associate professor department of african american studies virginia commonwealth university 816 west franklin street, p.
Box gp 2674, accra also available on the banks website. The effects of mergers and acquisitions on firm performance. Production of all agricultural products such as cash crops, horticultural. Access bank, intercontinental to complete merger march.
They promote the availability and acceptance of electronic money as a retail payment medium with the potential to increase financial inclusion. The use of mobile money did not have much uptake in ghana in the early years of the first deployments. This study therefore sets out to investigate the role of women in the ghanaian economy especially their participation in economic activities, to identify factors that hinder their development, to. The constitution of ghana as well as several other legislations such as the criminal offences act 1960 act 29, whistleblower act 2006 act 720 and the anti money laundering act 2008 act 749 have provisions governing anticorruption in ghana.
After independence, the new monetary authority, the bank of ghana, issued its own currency in the form of ghana. A glance at any business newspaper or business news web page will indicate that mergers. Bharti airtel has merged with millicoms tigo in ghana to become the countrys second largest mobile operator, the new company airteltigo. Immediately after independence in 1957, the bank of ghana. In ghana, the recent ones between ecobank ghana and the trust bank. Cash is still the main form of payment for daytoday purchases. A read is counted each time someone views a publication summary such as the title, abstract, and list of authors, clicks on a figure, or views or downloads the fulltext.
Mobile money companies to be merged by november 2017. Impact of mergers and acquisition ma on performance of. A message from the executive secretary of ghana association of bankers 4. Merger, performance, deposit money banks background to the study banking reforms have been an ongoing phenomenon around the world since the 1980s but it has been. One of the acquisitions that occurred in ghana was between guinness ghana limited ggl and ghana. We have endeavoured to take reasonable care in compiling this publication, which presents the position of ghana. Over the summer, yahoo and aol became a new company called oath. Cocoa, a major cash crop and ghanas second leading. Please check that the recipient already has a mobile money account. There are various laws aimed at curbing corruption in ghana. Even before the new regulations were adopted, mobile money had already. Geographic market extension mergers relate to two companies whose operating activities are concentrated in unrelated geographic locations. Public disclosure authorized building inclusive payment.
As well as airtime, it is also possible to send money directly to the mobile phone of a family member or friend in ghana. Bog collapses 5 banks into consolidated bank ghana ltd. A qualitative exploration of mobile money in ghana compass 18, june 2022, 2018, menlo park and san jose, ca, usa with 59% of the population currently paying for insurance, 67% actively saving and 40% of the population investing money. Even before the new regulations were adopted, mobile money. The changing face of banking in ghana and the implications. Agency banking harmonization at the regional level customer needs availability of. Bank of ghana outlines fresh regulations for telcos on. Soon, all you need is 3 sims to transact business in the country, considering that tigo and airtel are into a merger which will be realised soon. Pwc 2016 ghana banking survey 2 vish ashiagbor country senior partner s even years after the launch of the first mobile money solution in ghana, the service can be said to be a game changer in the countrys financial services industry.
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