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Business News of Sunday, 20 May 2018

Source: www.ghanaweb.com

We are poised to meet the deadline for the new minimum capital – GN Bank CEO

Chief Executive Officer of GN Bank, Issah Adam has revealed that the bank is on track to meet the deadline for Bank of Ghana’s new minimum capital requirement as shareholders were able to raise more than they had projected in the first quarter of the year.

According to him even though the bank’s shareholders pledged to raise in ¢56million in the first quarter of the year they raised ¢60million.

“We submitted our capital plan to Bank of Ghana in December 2017 and in the capital plan the shareholders had promised to bring in ¢56million in quarter one, then another chunk, about ¢160million in quarter two and then the balance in quarter three… As I speak to you, our shareholders brought in ¢60million that is ¢4million above what they had planned to do. So, we are on track and this quarter two, we are really poised to be able to deliver what we promised that we going to come up with.”

The Bank of Ghana, in 2017 announced an increment in the minimum capital requirement of Universal Banks from ¢120 million to ¢400 million giving commercial banks up to December 2018 to meet the new capital which represents an increase of 233 percent.

There have been fears of Indigenous banks not being able to meet the requirement following the collapse of UT and Capital Banks as well as the subsequent takeover of UniBank.

Various indigenous banks including GN Bank has however assured its customers on various occasions that they will meet the deadline for the new requirement.