General News of Monday, 12 September 2016Source: citifmonline.com8 banks on the verge of collapse – BawumiaDr. Mahamudu BawumiaA former deputy Governor of the Bank of Ghana and the running mate of the NPP Dr. Mahamudu Bawumia has warned that eight banks in Ghana risks collapse due to the continuous hikes of bad loans on their books. “The asset quality review of banks, conducted in 2015, shows significant vulnerability of banks to current economic conditions and that if the affected banks were to fully provision for all the bad loans, a significant number of them will collapse. The identity of the eight are not known but industry players have cautioned their collapse will destabilize the financial industry and in turn the economy. The central Bank earlier admitted the growing spate of nonperforming loans on the books of banks is the key risk facing the banking sector. A former deputy Governor of Ghana’s central Bank Dr. Mahamudu Bawumia, earlier warned a number of banks risk collapse if the BDCs debt is not settled soon.

Source: GhanaWeb September 11, 2016 21:45 UTC