Minority Leader Dr. Cassiel Ato Forson has slammed the government for its policies that he said have caused challenges for the banking sector.
According to him, the challenges have eroded the capital of indigenous Ghanaian banks.
The Minority leader cited the implementation of the government’s Domestic Debt Exchange Programme (DDEP) as a major factor in the inability of banks to lend to businesses.
He expressed concern many local banks that play a vital role in supporting small and medium-sized enterprises (SMEs) in Ghana are currently facing significant financial difficulties.
Also read: https://mypublisher24.com/fuseini-issah-vouch-for-akufo-addo-over-galamsey-fight/
Dr. Forson called for discussions among stakeholders to find ways to support local banks during this difficult period.
“Under the leadership of Alhaji Bawumia, the Head of EMT, the government has implemented policies that have eroded the capital of most of our banks.”
“This is having a devastating effect on their ability to lend to businesses, create jobs, and contribute to the growth of our economy.”
“I believe it’s time for a serious discussion about how we can support our local banks and help them weather this difficult period”.
Restructuring of Ghana’s local currency and overseas debt caused GCB Bank Plc and Standard Chartered Bank Ghana Ltd significant losses.
According to Bloomberg, banks operating in Ghana have suffered a total loss of about $1.4 billion due to the restructuring of most of the country’s public debt, estimated at GH¢576 billion.