President Nana Addo Dankwa Akufo-Addo on Wednesday defended government’s decision to reform the banking sector, saying the measure had ensured the stability of the country’s economy.
“The measures we took saved the banking industry from a very dire situation,” he said when he opened the new headquarters building of the CalBank situated at 23 Independence Avenue in Accra.
The President said though the reforms was a difficult resolve by his administration, the move had saved the banking industry from collapse, and already, the sector had recorded very positive growth in the first quarter of 2019 as a result of that decision.
The industry, he indicated, had recorded growth in terms of total assets, total deposits, and net loans and advances at the end of the first quarter of 2019.
Also, the reforms had saved the deposits of some 1.5 million people and their businesses and had curtailed job losses in the banking sector.
“According to the March 2019 banking sector report by the Bank of Ghana, an assessment of the banking sector’s performance during the first two months of 2019 showed a well-capitalized profitable, liquid, and stable sector with strong prospects for increased financial intermediation,” the President said.
President Akufo-Addo underscored the critical role of banks to the development of the country, urging industry players to see themselves more as active partners in the nation’s quest to build a productive and robust economy and not just profit-making entities.
He assured the financial institutions and regulators that government would collaborate with them to promote digital financing, mobile banking, and mobile money usage to help formalize the Ghanaian economy.