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Business News of Thursday, 16 August 2018

Source: www.ghanaweb.com

Patronize Ghanaian owned banks – Dr Nduom urges Ghanaians

President and Chairman of Groupe Nduom, Dr Papa Kwesi Nduom, has urged Ghanaians including businesses to put and keep their monies in the Ghanaian owned banks.

According to him, if Ghana is going to see accelerated development then it needs local banks; it is these local banks that can cater for the needs of the rural economy.

Dr Nduom at a press conference at his Coconut Groove office said, “GN Bank has been a leader in the national retail market with 300 locations and presence in every region and in almost all districts.”

He noted that recent development in the banking sector has not helped many banks but rather decreased confidence in the banks.

“While the Bank of Ghana action was meant to strengthen the small banks, if care is not taken, it will rather weaken them,” he stated.

The Bank of Ghana (BoG) on September 11, 2017, directed that all banks licensed in Ghana must increase their minimum paid up capital to GHC 400 Million.

This development has since seen the revocations of licences of Capital Bank, UT Bank, Beige Bank, Construction Bank, Royal Bank, Sovereign Banka and uniBank.

The BoG declared these banks insolvent arising mainly out of bad corporate governance.

Three Banks were said to have used fraudulent means through the use of suspicious and non-existent capital to procure their licences an act many have called for further investigations and prosecutions.

This situation Dr Nduom said it is time consuming and stressful exercise on the part of Ghanaian owned banks.