The Second Deputy Governor of the central bank, Mrs. Elsie Addo Awadzi, speaking at a high-profile stakeholder meeting attended by heads of commercial banks in Accra spoke of the Bank’s commitment to effective supervision and enforcement. She reiterated the Bank’s resolve to conduct an overarching overhaul of the banking sector through a number of reforms that should promote a strong and resilient banking sector to support robust macroeconomic growth. The central bank stated that it will get tough on corporate governance, which among other things will see the Bank of Ghana issue and strictly enforce “fit and proper person” guidelines for bank shareholders, directors and key management personnel, to promote high standards in the industry. For banks that are part of a holding structure, some of the new reforms the central bank mentioned will involve strengthening their regulation as well as their parent holding-companies and affiliates to reduce intra-group exposures. Having come under some amount of criticism for its failure to detect in time some of the early warning signals that led to collapse of some financial institutions, the central bank stated that it will also undertake a house-cleaning exercise.

Source: GhanaWeb April 25, 2018 07:07 UTC