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Opinions of Friday, 4 October 2013

Columnist: Addo, Maxwell Okamafo Asamani

Government Has Reformed the Financial Sector

.....to Alleviate Poverty -Veep

By Maxwell Okamafo Asamani Addo

The vice president His Excellency Kwesi Amissah Arthur has stated that government has made the development of the financial sector a central element policy for alleviating poverty, as one of the key components of advancing the BETTER GHANA AGENDA that government is vigorously pursuing.

Addressing members of the mining industry at the official launch of the Golden Pride Savings and Loans Limited new head office building on Thursday which is a subsidiary of GMWU Investment Limited in Obuasi. Mr Amissah Arthur said new focus of government is intended to ensure that the country is able to establish a finance system that offers opportunities for Ghanaians to thrive in the quest for economic empowerment and improvement in the quality of their lives.

Vice president Amissah Arthur indicated that the strengthening of institutional structures professional development as well as the creation of a congenial environment for the private sector to operate forms a central theme of the government strategic objectives.

He said there are currently 23 savings and loan’s company operating in the country with the total assets of almost two billion Ghana cedis and total deposits of 1.4 billion Ghana cedis, by supporting the micro small and medium enterprises especially those in the rural communities in the country the saving and loans sector continue to play a critical role in the development of the economy. The Vice president said currently the minimum capital for the granting of license has moved from 7 million to 15 million so called on managers of the company to improve risk management practices and minimize credit ,operational liquidity risk ,Because ultimately its other people money and life savings that they loan out.

He also called on savings and loans company that have the tendency to attempt to compete with commercial banks to know their niche, the broad masses of the people, those who lack banking services and must decide on which segment of the market they want to serve. And focus their operations on the growth of SMEs and not large cooperate entities that have other sources of finance.

Vice President Amissah Arthur took the opportunity to congratulate Ghana Mine workers Union on the occasion of the Launch because their efforts and contributions that have actualized the idea mooted sometime ago into a promising financial future.

On his part the managing director of Golden Pride savings and loans Mr Johnson Boadi Asamoah said in their quest to bring banking services closer to the people who really need it , and that Golden Pride cooperate office that they are inaugurating is not just adding just another edifice to the landscape of Obuasi , but rather see the building as a catalyst to bring revolution in the way ,with a call on SMEs in the peri-urban centre’s need to engage with Golden Pride as an excellent provide of financial services to help grow local economy thereby creating sustainable employment sources.