Kumasi, Feb 25, GNA- The Bank of Ghana (BoG) in collaboration with the commercial banks is to introduce a multi-lateral credit clearing system called the Credit Transfer Voucher into the banking system as a measure to reduce the physical handling of cash by the public.

Under the new product, the sender must complete a credit transfer voucher at the bank which is to make the transfer, pay the money to the cashier in the form of cash or cheque drawn on the bank making the transfer, provided the cheque is backed by adequate funds, then the cashier would in turn process the voucher and return a copy to the customer as receipt.

Mr Stephen Tetteh of the Banking Department of BoG, who disclosed this in Kumasi on Monday, said the product, therefore is one of the credit transfer systems that enables the payer to instruct a bank to move money to a beneficiary's account at another branch bank in the country.

He was briefing bankers and the public at a seminar organised by the BoG on the working of the new system, which is expected to become operational in March, this year.

Mr Tetteh said the new product would complement cheques and banker's draft as a means of payment and would also enhance financial operations among banks and the public by ensuring payment of money into one's accounts anywhere in the country.

He said as one of the systems that had become very popular among many European and African countries, there was the need for BoG to be abreast with time by reducing physical usage of cash with its attendant problems.

"Credit transfers in the banking system have until now been on bilateral basis without formal clearing and settlement time frames and it is the hope of BoG that with the introduction of the voucher, the country would join the growing number of countries that had adopted this modern trend in payment system".

Mr Tetteh said the voucher would have on it the beneficiary's names, address, account number, beneficiary's bank details, sender's details, amount details and other details to be provided.

Mr Chris Apau-Opong, Ashanti Regional Manager of BoG, noted that when the system becomes operational, it would be suitable and facilitate the payment of school fees, utility bills, salary payments, payment of registration fees for examinations, licenses, VAT, Internal Revenue Service (IRS) among others.