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Business News of Saturday, 15 December 2018

Source: Myjoyonline.com

BoG okays First Atlantic, Energy Commercial Bank merger talks

The Bank of Ghana (BoG) has given a “no objection” to the planned merger talks between First Atlantic Bank and Energy Commercial Bank.

Sources close to the deal say the Central Bank’s green light was communicated on Friday, December 14, 2018.

This means the discussions can begin having secured all the documents that give more information about the merger between the two banks.

According to BoG, its own regulations direct that it is expected to review the documents that two parties have submitted.

The "no objection " communication would help the two banks to fast-track the process in meeting the new minimum capital requirement of 400 million cedis by December 31 as set by BoG.

The two banks are entering into this “marriage” after Energy Commercial Bank failed to raise the targeted amount of ¢340 million to help meet the new minimum capital requirement of ¢400 million.

This resulted in the two banks signing a MoU to merge their business to help them meet the new capital levels set by the BoG.