In the wake of growing concerns over mobile money (MoMo) fraud in Ghana, the Electronic Money Issuers (EMIs) Chamber is absolving itself of the menace, claiming they have invested in robust systems that protect subscribers.
After issues of momo fraud cases became rife again, the Minister for Communication, Samuel Nartey George, has summoned the EMIs chamber over the issue as part of efforts to address the menace.
Momo fraud cases have become a major obstacle to the acceptance of digital financial services, which are aimed at promoting financial inclusion and a cashless economy.
For instance, the Bank of Ghana fraud report reveals that the yearly cases of momo fraud run into the tens of thousands, with scammers walking away with amounts estimated in millions of Ghana Cedis. In 2022 alone, fraud cases totalled 12,166, leading to customers and victims losing about GHC 26 million.
But amid the debate of who is to blame, the EMIs (who are licensed institutions, including telecom companies and banks, authorized by the Bank of Ghana to issue and manage mobile money) believe they should be absolved of any wrongdoing or accusations.
The CEO of the Chamber, Dr. Ken Ashigbey, argues that the EMIs have invested and developed systems that are very safe and robust to prevent fraud.
In his view, anyone who suspects that the EMIs are complicit would be on a wild goose chase. No evidence, he says, has been provided by authorities to suggest that any of these institutions are running a system that fails to protect users.
“The minister would not be able to establish that any of the EMI’s have had a system that does not protect, subscribers. So in terms of the robustness of the EMI platforms, it is very, very robust,” he emphasized in an interview monitored by The High Street Journal.
However, the real challenge fuelling the menace, Dr. Ashigbey pointed out, is social engineering. This is the manipulation of users to voluntarily give up sensitive information.
In his view, the perpetrators are rather manipulating customers to share their details to gain access to their accounts and not system weaknesses
“The challenge we have had is the challenge of social engineering,” he explained.
He added that the Chamber and its members have also invested significantly in public education efforts to curb these scams, including producing awareness skits and campaigns to inform users about fraud tactics.
The EMIs’ position underscores the need for shared responsibility in the fight against MoMo fraud. While they continue to bolster their platforms and conduct public education, the Chamber believes users must also be vigilant and informed to avoid falling prey to fraud.
