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Business News of Thursday, 2 June 2016

Source: B&FT

BUSAC Fund ropes in money lenders

The Money Lenders Association of Ghana (MLAG) has signed a grant contract with management of the Business Sector Advocacy Challenge Fund (BUSAC Fund) for its advocacy activity in Accra.

The Fund by BUSAC is a component of private sector development programmes with support from DANIDA, EU and USAID, signed by the Board Chair on behalf of the Association.

In response, Mr. Borbor Frank Mawutor-Executive Secretary, and Mrs. Regina Kumi-Board Chair of BUSAC Fund, respectively gave assurance that the fund will be put to good use and not disappoint the Fund Managers.

In all, a total amount of GHC120,067 will be used for the aforementioned project within six months. A satisfactory performance by this project will see the Association establish a good relationship with the Fund Managers and therefore could call for future supports.

Mr. Borbor said the main aim of the Fund is to assist the Association engage Bank of Ghana, the regulator of Money Lenders, on regulation for Tier-4 and other related issues. For instance, the Association will conduct a desk review of existing regulations governing operations of Money Lenders and a nation-wide survey on regulation of Tier-4.

Sensitisation workshops will also be organised at the Zonal levels across the country to sensitise members and the entire citizenry of Ghana about the research’s findings and the need to engage Bank of Ghana and related stakeholders to provide an inclusive regulatory framework on self-regulation for the operations of Tier 4.

Meanwhile, there will be an intensive media campaign not only to create stakeholders' awareness, but also broaden understanding of the scope of supervision mandates of MLAG which contribute to enhancing understanding Tier 4 activities, thereby informing the general public about permissible activities of the Association’s members with emphasis on Tier 4 or individual members -- which will have an overall effect of bringing about sanity in the system.