The National Democratic Congress (NDC) has expressed worry about the Bank of Ghana’s financial sector clean-up.
According to them, these clean-ups are causing various forms of unemployment which are gradually crippling and affecting the economy.
Speaking on Okay FM’s 'Ade Akye Abia' program, Member of Parliament(MP) for Bia East Constituency, Richard Acheampong explained that the number of people who have lost their jobs due to the BoG clean-up is worrying.
He added that the situation would not have been the same if the NDC was in power.
The NDC under the leadership of former President John Mahama began the processes to begin the clean-up.
He added that the approach used by the Bank of Ghana for the clean-up was very wrong and that the NDC would have approached it differently if they were in power.
He also urged the Bank of Ghana to strengthen their communication section to enable customers have hope and trust in them.
"Currently, over 4,000 workers have become unemployed due to this clean-up processes," he said.
Background
The Bank of Ghana says it has completed its clean-up exercise of the banking and specialized deposit-taking (SDI), and non-banking financial institutions (NBFI) sectors.
This was contained in a detailed statement issued by the central bank announcing the revocation of licenses of 23 savings and loans company today {Thursday].
The statement from the BoG said, "the Bank of Ghana has with effect from today, completed the clean-up of the banking, specialized deposit-taking (SDI), and non-bank financial institutions (NBFI) sectors which began in August 2017.”
According to the BoG, it has revoked the licenses of 9 universal banks, 347 microfinance companies, 39 microcredit companies, 15 savings and loans companies, eight finance house companies, and two non-bank institutions.
The statement said: ”This follows the revocation of the licences of nine (9) universal banks, 347 microfinance companies (of which 155 had already ceased operations), 39 microcredit companies/money lenders (10 of which had already ceased operations), 15 savings and loans companies, eight (8) finance house companies, and two (2) non-bank financial institutions that had already ceased operations.”
Source: Isaac Kwame Owusu/Peacefmonline.com/[email protected]
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the right thing must be done or we are going to face severe consequences in the near future
what would the NDC have done differently? Pyram and R5 are indicators. What did the NDc do about them. Then DKM came and NDC did nothing. It is a pity people are losing their job but the job that they have been employed to do is not yielding anything. Is the MP aware that most of the Saving and Loans Companies have not been operating and thus the so called employees have not been paid over the period? Should the depositors lose their investments for the employees to be paid. If you are not able to handle the depositors how do you handle you employees? What is going to be your source? It appears there was an up surge for the operation of Savings and Loans Company such that everybody was venturing into it without the basic knowledge. Greed took a greater part of the operations of most of these companies. Acquiring properties like expensive cars , marrying left right and center, showing off at funerals forgetting that it is the depositors money that is being 'flashed' around. The enployees kept quiet obviously they cannot say much but SHOULD THE DEPOSITORS SUFFER BY NOT GETTING THE CHANCE TO ACCESS THEIR MONIES? Mr MP what would you do if your money has been locked up over the years? Lost of job is very sad but it has to come along with the corrective measures. After there are other Savings and Loans company operating why have they not been closed down.Think about the DEPOSITORS OOOOOOOO. All those involved in these scandals must be prosecuted after thorough investigations