Implications of digital economy for financial institutions in Ghana: an exploratory inquiry

The digital economy has revolutionised financial service provision and compelled financial services institutions to adopt technologies that help deliver quality service at a minimal cost. Due to the recent disturbance in the financial sector in the country, there is an urgent need for financial service providers to adopt relevant technologies to help reduce operational inefficiencies and maintain service quality. This article analyses the implications of the digital economy for enhancing the efficiency of financial markets. Drawing the existing literature, it concludes that the financial institutions in the country have quite embraced and integrated digitisation into their activities. Given the perceived high level of digital illiteracy among the populace, it was surprising to discover the number of people who have signed on unto such financial products. It was recommended financial institutions integrate their operations with the necessary digital technologies as it helps reduce operational costs. Furthermore, they need to invest in digital infrastructure and skills of their staff to embrace technology in service delivery. It is also suggested that policymakers strengthen the laws, policies, and regulations such as data protection and cybercrime to enable the players of the market to operate freely and confidently.