Bank of Ghana
Bank of Ghana

The BoG should, indeed, wake up from its slumber in the supervision of the banks, and other financial institutions in the country.

It seems the supervision work is now a bit of problem for them.

  1. Either: they lack staff to accomplish this duty.
  2. The banks and the other financial institutions are just too many for them for effective supervision.

  3. Or the banks and others are making things too difficult for them.

The central bank SHOULD STOP giving more licenses to individuals and entities to opening more of such institutions.

The existing ones SHOULD BE FORCED to consolidate through mergers and acquisitions (especially, of the Ghanaian banks).

Getting in place a hand full will make the supervisory work less tiresome.

The few ones will be very efficient and effective,with enlarged capital bases for the growth of the economy.

Banks should have new methods of assessing loan applications to avoid mounting non-performing loans or assets. Post Credit Depts. of banks and other financial institutions should be strengthened by effective monitoring of projects of borrowers, and making sure such borrowed funds are NOT misapplied, for other purposes.

Businesses and individuals who become habitual loan defaulters SHOULD BE BLACKLISTED.

Banks should use the services of the institutions keeping such registers of bank borrowers (Credit Bureaus), to know such loan defaulters.

Source: Samuel Bediako-Asante