The Governor of the Bank of Ghana(BoG) Dr Ernest Addison, has ruled out the possibility of the restoration of any revoked banking licenses as long as he remains in office.
This according to him is because the move was made after thorough reviews of the affected institution’s operations.
In an interview with Joy Business, he emphasised that many of the institutions engaged in risky investments and mismanagement of depositor funds.
The mismanagement he explained breached the principles of banking.
“As long as I remain Governor, none of those licenses will be reinstated. These shareholders treated depositors’ money as their own, using it to fund personal businesses or invest in brick-and-mortar projects that were not liquid enough to make resources available when depositors needed their funds,” Dr Addison explained.
The central bank between 2017 and 2-19 as part of financial reforms revoked the licenses of nine universal banks, 347 microfinance companies, 39 microcredit companies, 23 savings and loans firms and eight finance houses.
Some institutions were also merged under the Consolidated Bank Ghana (CBG) to ensure the continuity of banking services.
After several pleas for restoration, President John Mahama ahead of the 2024 election promised to reinstate the licenses.
He explained that the restoration will be preceded by a comprehensive and unbiased assessment in his quest to stabilise the financial sector and restore public confidence.