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Thursday 28 March 2024

2021-03-19

[B] ARB Apex Bank admitted to Ghana-Sweden Chamber of Commerce

2021-03-17

[B] NDPC holds consultation medium term framework for 2022-2025 in Oti
[B] More investments recorded in Western Region despite COVID-19
[B] Budget cuts for legislature, judiciary won’t be entertained – Speaker

2021-03-16

[B] Pursue demands through negotiation, arbitration – Telcos told
[B] Don’t approve new fuel levies – COPEC to MPs
[B] There’s no justification for newly proposed petroleum taxes – Wereko-Brobby

2021-03-15

[B] Ghana prepares to issue $5 billion Eurobond
[B] There’ll be ‘bitter hardship’ for Ghanaians because of 2021 budget – Forson

2021-03-14

[B] 2021 budget designed to lift Ghana out of challenges imposed by COVID – Alan
[B] I’ll support Agyapa deal 2,000% – MP Egyapa Mercer
[B] Notorious Wa thieves transporting pregnant goats involved in accident
[B] Ghana risks losing €258m earmarked for the 2nd phase of Kejetia market
[B] FDA calls on media to help flush out unregistered products from market
[B] Govt provides Ghs 42.8 million in operations and payroll support to STC et al

2021-03-13

[B] Gov’t introduces 10pesewas ‘borla’ tax to clean Ghana
[B] NLA to bring back Live Draws for 5/90 Lotto
[B] Minister gives Kejetia traders final warning ahead of demolition
[B] Domelevo lands top international job after forced retirement
[B] Trotros and Taxis to enjoy free income tax, hotels and restaurants to get 30%

2021-03-12

[B] AfCFTA expected to significantly promote peace and security
[B] 2021 Budget will ensure recovery and macroeconomic stability
[B] We’ll soon provide food items to schools – Buffer Stock Company
[B] Osei Kyei-Mensah-Bonsu appointed ‘caretaker Finance Minister’
[B] 2021 Budget: Ghana Employers' Association expects pragmatic initiatives

2021-03-11

[B] Corruption is not fought alone or quietly – Domelevo
[B] Nana Addo’s anti-corruption credibility is in tatters – Gyimah-Boadi
[B] Agyapa deal should be considered dead on arrival in Parliament – John Jinapor

2021-03-10

[B] UMB Signs agreement with NARMG to provide special loans to midwives
[B] Ghana will experience economic rebound in 2021—President Akufo-Addo
[B] Price of iced sachet water now 30p
[B] All national ID numbers to become tax numbers from April - President Akufo-Addo
[B] Government will engage Parliament about Agyapa deal – Akufo-Addo

2021-03-09

[B] Stop 'examining' foodstuffs before buying them – market women to buyers
[B] Ghanaians to use COVID-19 Vaccination App to book appointment
[B] GRIDCo Explains Sunday's Nationwide Power Shutdown

2021-03-08

[B] Cement price goes up
[B] Village Savings and Loans scheme empowering rural women in Adansi north
[B] Technology is key to speeding up the global gender equality agenda- NBSSI Boss

2021-03-07

[B] Ghana for 3 years was described as one of fastest growing economies - Akufo-Addo
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Business

[ 2016-12-05 ]

New rules for microfinance companies good - Banking Consultant
Banking Consultant, and Head of the Osei Tutu II
Centre for Executive Education & Research, Nana
Otuo-Acheampong has expressed optimism in the new
regulations announced by the Bank of Ghana (BoG)
aimed at strengthening activities in the
microfinance industry. As part of the regulations,
the central bank has directed microfinance
companies to observe corporate governance
practices by going through approved processes to
appoint board of directors.

Speaking to Citi Business News, Nana
Otuo-Acheampong was hopeful the new regulations
will check microfinance companies to prevent a
debacle.

“The part that I’m very happy about is the
corporate governance part, because at the end of
the day, if you go through the research into the
reasons why microfinance companies have collapsed
which our institution have been doing, you will
see that most of the time it was because of poor
corporate governance,” he said.

He maintained that corporate governance structures
will ensure microfinance companies adhere to
strict rules since any deviation from the rules
will attract severe sanctions from the regulator.


“When you have good corporate governance
structures in place then it ensures the survival
of your operations and if you look at the history
of how these micro finance institutions were
formed that was their main bane, having been able
to put together a good set of board of directors
who will be able to steer the affairs of the
institutions,” he stressed.

He lauded efforts by the BoG in allocating a full
chapter to corporate governance since it will be
an anchor to maintain stability in the industry.

“If they are enforced then we can say that the
microfinance institution is doing better, at the
end of the day we need them we can do without them
, because they are providing a good service in a
niche market,” he noted.

Background

Thousands of Ghanaians have lost millions of cedis
in the past 3 years from the collapse of some
microfinance companies. Customers of DKM
Microfinance, and God is Love Fund Club, among
others misappropriated fund of customers.

The situation resulted in panic withdrawals as
customers thronged to such microfinance companies
to demand their investments.

The BoG directed that the assets of such companies
be frozen for a liquidation process to start. -

Source - Citifmonline



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