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Business News of Monday, 31 May 2021


DBG to cause change among other banks - BoG Governor

Ernest Addison, the Governor of the Bank of Ghana (BoG) Ernest Addison, the Governor of the Bank of Ghana (BoG)

• Dr Addison said the Bank of Ghana will regulate the operations the Development Bank of Ghana

• He said the bank will work under the laws of the commercial bank but will also abide by the rules of a development bank

• The DBG is expected to be operational in July this year

Governor of the Bank of Ghana, Ernest Addison has stated that the aim of the establishment of the new Development Bank of Ghana is to influence a change in the banking sector of the country.

According to him, the bank will be utilised to steer affairs of national development and fill the void the other development banks have created over the years.

“BoG was part of the team that drafted the supervisory and regulatory framework the development Bank of Ghana. I believe the act that has been passed for development finance institution. The Bank of Ghana was very keen in drafting that act. Which has been passed by parliament for all development finance institutions. So yes, the central bank has a big role because this is a bank that will be supervised consistently with the way we supervise our commercial banks and we will hold them with the level of standard that we are holding the commercial banks to in terms of corporate governance,” he said.

He further stated that the development bank will operate as a bank and follow the rules of how every development bank operates but this will be regulated and ensure it does something different from what the others are doing.

“In some of the cases that I have seen and the way the development bank works, before you can become a participating financial institution you have to be cleared by the central bank, so even in terms of the financial institution, that will be able to do business with the development bank of Ghana, these must be institutions that must have been licensed by the bank of Ghana. The regulator will be key in ensuring that things are done differently,” he added.

Governor of the Bank of Ghana, Ernest Addison has stated the Bank of Ghana hospital is almost ready for use by the general public.

He said measures are being put in place to officially launch it and open it for public use by next month July.