Some Rural and Community Banks (RCBs) in the country, particularly those in the Ashanti region are appealing to government to help them retrieve their locked-up funds from some financial institutions including State Enterprises.
According to them, this has affected their Capital Adequacy Ratio (CAR) and profitability levels, though they would perform far better if their locked-up funds were released to them.
They believe the availability of these funds would help them give more loans to support farmers as well as smaller businesses in their operational territories which the universal banks usually do not do.
Consequently, this would eventually improve the economic activities in the rural areas and contribute to the well-being of the poor citizens and the nation as a whole.
The rural banks in Ghana have exhibited resilience and continue to stand the test of time and have worked in the interest of their customers and shareholders as per their legitimate mandate as banks operating in their communities and serving critical financial intermediation for significant number of the Ghanaian populace.
The Bank of Ghana that regulates the subsector of the banking industry has taken a strong stance to ensure that rural banks, as wholly indigenous bank, perform their operations efficiently, to bring financial inclusion to the members of the communities.
In this regard, RCBs have not failed to pay customers their deposits or paid investors their money whenever they fall due; even in the midst of the financial clean up and in challenging macroeconomic environment.
Indeed, none of the 145 rural banks in the country was closed down or had their license revoked by the regulator because of insolvency or any corporate governance irregularities, as reportedly happened to some of the universal banks when the banking clean-up occurred recently.
Latest Stories
-
DAMC, Free Food Company, to distribute 10,000 packs of food to street kids
28 minutes -
Kwame Boafo Akuffo: Court ruling on re-collation flawed
47 minutes -
Samuel Yaw Adusei: The strategist behind NDC’s electoral security in Ashanti region
49 minutes -
I’m confident posterity will judge my performance well – Akufo-Addo
1 hour -
Syria’s minorities seek security as country charts new future
2 hours -
Prof. Nana Aba Appiah Amfo re-appointed as Vice-Chancellor of the University of Ghana
2 hours -
German police probe market attack security and warnings
2 hours -
Grief and anger in Magdeburg after Christmas market attack
2 hours -
Baltasar Coin becomes first Ghanaian meme coin to hit DEX Screener at $100K market cap
3 hours -
EC blames re-collation of disputed results on widespread lawlessness by party supporters
3 hours -
Top 20 Ghanaian songs released in 2024
3 hours -
Beating Messi’s Inter Miami to MLS Cup feels amazing – Joseph Paintsil
3 hours -
NDC administration will reverse all ‘last-minute’ gov’t employee promotions – Asiedu Nketiah
4 hours -
Kudus sights ‘authority and kingship’ for elephant stool celebration
4 hours -
We’ll embrace cutting-edge technologies to address emerging healthcare needs – Prof. Antwi-Kusi
4 hours