Ghana Home Loans has disclosed to Citi Business News it will start its banking services in the last quarter of 2017.
To be known as GHL Bank, the entity is expected to intensify competition in the granting of mortgage loans.
This is also expected to help bridge the housing deficit currently estimated at 1.7 million.
The CEO of Ghana Home Loans, Dominic Adu explained that the move should help the outfit meet the changing needs of its clients.
“We will be launching in the last quarter of this year we have completed all the necessary requirements of the Bank of Ghana. It’s a very exciting time for us because we are not just providing the mortgage but all the financial needs of the individual including the car loans and their savings.”
Mr. Dominic Adu also indicated, “What this also means is that we are able to look at people’s savings behavior and offer them mortgages rather than exclusively looking at their mortgage behavior.”
Ghana Home Loans in June this year, completed its documentation processes with the Bank of Ghana to become a bank.
Currently, mortgage loans being offered on the country is pegged at 32.1 percent on the average.
But Dominic Adu maintains that the mortgage company’s ultimate rolling out should also drive down mortgage interest rates.
“If we were offering 30 – 33% based on the money that we have borrowed and if we have a product that allows people to save, that brings our cost of funding now and that cost is also passed onto the borrower.”
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By: Pius Amihere Eduku/citibusinessnews.com/Ghana
