Union Savings and Loans Company is expected to begin operations as a universal bank by June 2016.
The Savings and Loans company was issued with a provisional banking license by the Bank of Ghana in December 2015.
Union Savings and Loans will now have to meet the 120 million cedis minimum capital to operate a universal bank as against the 15 million cedis for a savings and loan company.
Minimum capital requirement for banks
The Bank of Ghana reviewed upwards the minimum capital required for new banks to operate in the country.
New commercial banks are required to have a minimum stated capital of GHS 120m.
Existing banks are only required to maintain a stated capital of GHS60m it set previously.
Income of banks
Composition of Banks’ Income Interest income from loans continues to be the main source of income for the banking industry in Ghana and constituted 50.1 percent of total income in September 2015 compared with 45.2 percent in September 2014.
Investment income share of 29.2 percent of total income in September 2015 was marginally below the 28.4 percent recorded in September 2014.
The share of income from fees and commission declined to 12 percent in September 2015 from 13.1 percent in September 2014.