The Micro-Credit sector has posted massive gains in 2021 with total assets increasing by 146.79 percent year-on-year to GH¢410 million as at the end of December 2021, compared to 36.3 percent growth in 2020. The increase in asset growth was attributed to the gradual rebound in economic activities after COVID-19 and increase the number of members reporting Also, gross loans and advances amounted to GH¢312million as at December 2021. This amount represented a growth of 15.13 percent over the 8.3 percent recorded in 2020. The higher growth in gross and net loans and advances reflects the higher credit demand by Micro, Small, and Medium Enterprises. Again, shareholders’ funds continue to drive the funding of total assets with robust growth of 74.33percent to GH¢304.8million as at December 2021, relative to the 74.14.1 percent growth recorded in 2020 with total borrowings reduced by 16percent in December 2021, compared with 24percent growth in the previous year. The slowdown in borrowings was mostly due to the increase in loan repayments and profit ploughed back into the business, according to a report by the Micro-Credit Association of Ghana (MCAG). Giving highlights of the performance of the sector as captured by the report during MCAG’s 13th Annual General Meeting (AGM) in Accra on Thursday, October 20, 2022, the chairperson of the Association, Wilberforce Ofori, said the association’s accumulated funds stood at GH¢1.9million with actual revenues being GH¢1.2million as compared to the total budget revenue of GH¢1.4million at the end of 2021. The key revenue items were Subscriptions, Licence & Licence processing fees, Membership Registration fees, and Training fees. He said the total expenditure amounted to GH¢780,340.00 as compared to a budgeted expenditure of GH¢1.24million with the key expenditure items being Onsite Inspection and Supervision expenses. Personnel Emoluments, Governing Council Expenses, and General Administrative expenses. “The Association continues to be thrifty in the management of financial resources and I can confidently report that the target the Governing Board set in 2021 with regard to finance has been achieved,” Mr. Ofori told the AGM. He said the corporate governance structure of the Association has seen healthy improvement with the balance of skill and experience which is buttressed by a comprehensive framework, based on integrity, transparency and consensus building. “The quality of governance is a reflection of the diverse competencies and expertise of the members of the Association,” he stated leading to the remarkable financial being under year in review. In a speech delivered on his behalf, the Head of Other Financial Institutions Supervision Department of the Bank of Ghana, Yaw Sarpong said the central bank sees MCAG as a partner in the supervision of micro-credit institutions and it is thus required to ensure that micro-credit companies comply with the various laws and directives governing the operations of the sub-sector. “To ensure safe and sound institutions within the sub-sector, the Bank of Ghana in collaboration with MCAG has started onsite examination of individual money lenders. Similarly, the Bank of Ghana recently commenced the examination of MCAG and other umbrella bodies and authorised agents. This is done with the aim of strengthening supervision and adding value to the operations of the institutions,” he stated. As part of its support MCAG to enhance its operations and strengthen the micro-credit sub-sector, the Bank of Ghana extends quarterly support to the Association. “The financial support is to augment the finances of the Association to undertake monitoring and engagement of licensed institutions, facilitate the training of members, support members to put in place basic corporate governance structures, conduct market surveillance to identify unlicensed operators and support the efforts of the Bank of Ghana to strengthen stakeholder engagements through public education and awareness,” he stated. On his part, the Executive Director of the MCAG, Ebenezer Quartey, Esq. pledged that the Association will continuously train and build the capacity of its members because the industry is dynamic evolving very fast and there is a need to continuously improve to stay relevant. “The Association believes that effective Inspection Supervision are critical tools for assessing the health member institutions,” he stated.