GAPNEWS

GAPNEWS

We’re developing plan to clean up Savings and Loans sector

The Bank of Ghana will soon descend on the savings and loans sector as part of measures to clean up Ghana’s banking space.
The central bank is currently going through processes to come up with a plan to clean up the savings and loans sector just like it has done in other categories within the banking sector.
Speaking on Point on View on Citi TV on Monday, the Head of Other Financial Institutions Supervision, Mr. Joseph Amoah-Awuah said over GH¢ 6 million of depositors’ monies are at risk in the savings and loans and financial houses.
He said the Bank of Ghana does not have the required resources yet to clean up those spaces but will act in due course.
The Central Bank’s recent financial sector clean-up saw it revoking the licenses of 347 microfinance institutions and 39 microcredit institutions.
Of the 347 microfinance institutions whose licenses were revoked , 192 of them were insolvent while the remaining 155 had ceased operations.
That exercise now leaves the microfinance space with 137 active microfinance companies in the country.
The BoG subsequently appointed Eric Nipah as Receiver for the specified microfinance institutions, also in line with section 123 (2) of Act 930.

“ESTIMATES OF HOW MUCH DEPOSITS ARE AT RISK IS PUBLIC KNOWLEDGE, OVER GH¢6 MILLION. WE HAVE TO DO FURTHER WORKS TO DOCUMENT THESE LIABILITIES AND SO ON. YOU CANNOT TOUCH IT IF YOU DO NOT HAVE A RESOLUTION PLAN,” HE SAID
“IN OUR SYSTEM, BANK OF GHANA IS THE RESOLUTION AUTHORITY BUT IT CANNOT MOVE IF THERE IS NO PHYSICAL RESOURCES BEHIND IT. WORK IS BEING DONE. THE GOVERNOR OF THE BANK OF GHANA HAS GIVEN THAT COMMITMENT AND WHAT WE ARE TRYING TO DO IS TO CLEAN THE ENTIRE FINANCIAL SYSTEM. THE PLAN IS NOT READY BECAUSE THERE HAS TO BE A COMPREHENSIVE PLAN,” HE TOLD HOST OF THE SHOW, BERNARD AVLE ON MONDAY.

Comments

Popular posts from this blog

GAPNEWS Inflation rate for May drops to 9.4% Inflation rate for May 2019 recorded a marginal reduction to 9.4 per cent down by 0.1 percentage point from the 9.5 per cent recorded in April 2019. Deputy Government Statistician, David Kombat has been explaining to the media in Accra that the rate recorded was highly influenced by the declining rate of food inflation in the measuring basket. "We have seen a slight decline in food prices especially vegetables as a result of the weather patterns. This usually happens when we're entering into the raining season and commodity prices begin to experience some dips but this is also accompanied by some reductions in certain components of the non-food items" he said. Upper West recorded the highest general inflation of 11.1 per cent whiles Ashanti the highest rate in food inflation. "The food and non-alcoholic beverage group recorded 7.3 per cent, a reduction of 1.1 per cent point lower than the rate recorded in April ...

GAPNEWS WHAT IS WRONG WITH GHANA l am not too old neither am I too young and certainly I can’t admit to knowing all the problems confronting our dear Nation Ghana, but suffice as it will I have had the speck removed from my eyes and have seen the trajectory of our Governance process as a Nation with my eyes and have come to the conclusion of the very facts I dare state beneath. The trouble in Ghana is simply and squarely a leadership crisis finding its expression in the “volcanic” way of our practice of politics in Ghana. Let me hasten to indicate that there is nothing wrong with the Ghanaian, our land, our climate, our water, and our ability to think and do things for ourselves. The Ghanaian crisis stems from the roots of the unwillingness and the wanton disrespect for patriotism on the part of its leaders to rise to the responsibility of performance beneficial to the good people of Ghana. We have seen quite fairly or if you will strongly in the epoch of our political li...

GAPNEWS The need for Ghana to prepared for future uncertainty that could affect the economy. Ghana is endowed with gold and oil palms and situated between the trans-Saharan trade routes and the African coastline visited by successive European traders, the area known today as Ghana has been involved in all phases of Africa's economic development during the last forty five years. In 1981 a military government under the leadership of Flight Lieutenant Jerry John Rawlings came to power. Calling itself the Provisional National Defence Council (PNDC), the Rawlings regime initially blamed the nation's economic problems on the corruption of previous governments. Rawlings soon discovered, however, that Ghana's problems were the result of forces more complicated than economic abuse. Following a severe drought in 1983 (fire out break), the government accepted stringent International Monetary Fund (IMF) and World Bank loan conditions and instituted the Economic Recovery Program ...

GAPNEWS Ghana moves to capture US$2.4bn China soya market. The hefty tariff on soybeans from the United States has caused a 17 percent import decrease of the produce into China in February 2019, being the lowest level recorded since 2015, General Administration of Customs – Chinese statistical agency, has revealed. In 2017, U.S. soybean exports to China reached a volume of US$14.573 billion. Currently, the United States is the world’s largest soybean producer and second largest exporter, after Brazil. On the other hand, China is the world’s largest importer of soybeans – imported 91 million tonnes in 2018 market year as against 94 million tones the previous year. This suggests that the trade war between the two largest economies has created the opportunity for more than US$2.4 billion market share of soybeans that countries producing it can compete. Although, imports of soybean to China has reduced by 17 percent, this does not mean that consumption has reduced in similar terms...