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Business News of Thursday, 14 November 2019

Source: www.citibusinessnews.com

Gov’t to spend GH¢1.5 billion on investors in collapsed fund managers

Finance Minister Ken Ofori-Atta has revealed that the government is setting aside GH¢1.5 billion to provide relief to customers of the recently collapsed 53 fund management companies.

Presenting the 2020 budget statement to parliament today, Mr. Ofori-Atta stated that the government’s decision is to preserve the investments of over 77,000 retail investors and over 4,700 institutional investors.

The Securities and Exchange Commission (SEC) last week revoked the licenses of some 53 fund management companies over several regulatory breaches.

The defunct companies were managing assets that run over GHS8 billion and government’s support of GHS1.5 billion is expected to be used to provide some relief to investors after a validation process.

According to SEC, investors will be paid the rest of the funds subject to a liquidation process and the realisation of assets from their respective fund managers.