Banks submit recapitalisation plans to BoG ahead of September deadline
The Bank of Ghana (BoG) announced a significant milestone as it confirmed that all banks in the country have successfully submitted their recapitalisation plans ahead of the September 2023 deadline.
This development comes in the wake of the challenging Domestic Debt Exchange Programme (DDEP), which had adversely affected the capital reserves of certain banks, necessitating the recapitalisation initiative.
Dr. Ernest Addison, the esteemed Governor of the Bank of Ghana, expressed his optimism regarding the recapitalisation programme, highlighting its potential to bolster the Ghana Financial Stability Fund.
This fund plays a crucial role in safeguarding the financial stability of the nation and reinforcing the resilience of the banking industry in times of economic uncertainty.
The Ghana Association of Banks, representing the interests of the banking sector, has lauded the BoG’s decision to set an end-of-September timeline for banks to submit their recapitalisation plans.
John Awuah, the Chief Executive Officer of the Ghana Association of Banks, praised the move as a prudent step in the best interest of the banks.
He underscored the importance of strengthening their financial positions, believing that it would serve to bolster the overall health of the banking sector and enable them to actively contribute to the nation’s economic growth prospects.
As the BoG’s efforts towards recapitalisation and fortifying the Ghana Financial Stability Fund continue, market observers eagerly anticipate the positive outcomes that these measures may usher in for the banking sector and the broader economy.
