The Mobile Money (MoMo) Agents Association of Ghana (MMAAG) has announced an increase in cash out services effective, Thursday July 1. The MMAAG in a statement issued on Monday, June 28, 2021 urged customers to comply with the increment of the charges.

According to the Association, the taxes on their operations have become unbearable due to the recent imposition of the 10% tax on cash out services by the government.

“To the general public, please take note of these new changes of mobile money service charges taken effect from 1^st July 2021. The same day the 10% tax imposition by the government on our cash out service charge begins. We are pleading with you to comply with our members in their various shops.

“This is never our wish but we don’t have a choice… The financial commitment is too much and absorbing this [will] eave us with nothing at the end of the day”.

Meanwhile, the recent announcement of the increase in the charges follow an emergency meeting on Friday, June 25, 2021. The Association had complained about back-door increase in taxes imposed on telecommunication companies by government. This forced the Association to pass on the charges to their customers.

Agents to pay 20% tax per month

Moreover, the Momo Agents Association of Ghana indicated that the government has ordered the telecommunication companies to deduct 10 percent extra from Cash-out service wallet. Per the current directive, Momo Agents are expected to pay 20% tax at the end of each month.

“In total, on each network, every agent will be paying 20% tax on monthly basis. Initially, agents pay 5% on Cash-in service wallet but it was secretly increased to 10% without our knowledge. We feel this is a gross disregard to procedures”.

Furthermore, the MMAAG highlighted several operational costs and risks associated with their work. The Association cited armed robbery, acid baths, fraud and insecurity as some of them. According to the MMAAG, these risks expose its members to death, deformity, maiming and loss of huge amounts of money.

“The unfortunate aspect of it all is that the deceased, and/or victims are left to their families without any form of support from government”.

Armed robbery Attacks

More recently, there is a surge in attacks on Mobile Money Agents across the country. On June 19, 2021,a Mobile Money vendor and teacher of Besease Basic School, Solomon Arhin, was shot dead at Okorase in the Eastern Region. Upon inspection of the deceased, the police retrieved a sum of GH¢8,290.30, a laptop, five mobile phones, cheque book, and other documents were found in the victims two black backpack.

Meanwhile, on June 1, armed robbers attacked a Mobile Money vendor and made away with over GHS 140,000 at Buokrom, a suburb of Kumasi in the Ashanti Region. This resulted in the death of one person whilst another sustained severe injury.

Moreover, the Association bemoaned the fact that they have made several appeals to the government to review the tax but to no avail. As a result, the Association indicated that it has no choice than to pass all the costs onto their customers.

“Management is by this press informing all MoMo Agents to transfer the cost to the customer. We are advising our members to transfer the cost to those who seek our services”.