The Governor of the Financial institution of Ghana (BoG), Dr Ernest Addison, has implored the federal government to take authorized motion in opposition to shareholders of banks and monetary establishments implicated within the monetary sector clean-up.
From mid-2017 to the top of December 2018, the Financial institution of Ghana undertook a banking sector clean-up, recapitalisation, and numerous regulatory reforms to boost the security, soundness, and stability of the monetary system and thereby help financial progress.
Dr Addison confused the necessity for accountability, emphasising that people accountable for mismanagement or misconduct ought to be held accountable for his or her actions and inactions.
He expressed concern over the federal government’s sluggish strategy to addressing these points, urging for extra immediate and decisive motion.
At a joint press convention with the Ministry of Finance and the Worldwide Financial Fund (IMF) on Monday, July 1, Dr Addison highlighted the necessity to get better funds misappropriated or mishandled throughout the clean-up train.
He underscored the significance of making certain justice and that these accountable for monetary irregularities face authorized penalties.
“It’s taking a very long time to convey all of those issues to a detailed. Nevertheless, it is necessary that the state must persevere and pursue these shareholders who’ve misappropriated depositors’ funds.”
“The massive quantities of monies that we declare have been used to scrub up the monetary sector, a few of these monies are being held in property by the shareholders and I feel that the legislation must be allowed to do its work,” he stated.
Concerning the banking sector clean-up
The federal government in 2017 undertook the banking sector clean-up below the supervision of the Finance Minister, Ken Ofori-Atta.
The train noticed a discount within the variety of banks from 34 to 23, while 347 microfinance establishments, 15 financial savings and loans and eight finance homes had their licences revoked.
Quite a few the establishments that had the licences revoked have been discovered to have various levels of company governance lapses.
The entire estimated value of the state’s fiscal intervention, excluding curiosity funds, from 2017 to 2019 was pegged at GH¢16.4 billion.
The federal government in 2020 claimed that it spent about GH¢21 billion on the banking sectorclean-upp train.