Category: FEATURES
-
![4 key highlights of BoG’s economic data [Article]](https://citibusinessnews.com/wp-content/uploads/2016/05/bog-1.jpg)
4 key highlights of BoG’s economic data [Article]
Bank of Ghana (BoG) just released its November 2017 economic and financial data. I found 4 key highlights from the BoG report. NPL increasing: Non-Performing Loans (NPL) are still increasing for Banks – September 2017 it was 22.2% and in October 2017, it was 21.6% compared to 19% in October 2016. Why is it increasing? We…
-
![Is the ESLA considered as a bailout for Banks in Ghana? [Article]](https://citibusinessnews.com/wp-content/uploads/2017/10/bond-1.jpg)
Is the ESLA considered as a bailout for Banks in Ghana? [Article]
Preamble: As noted in my recent article titled “Poor credit practices leading to high NPLs in Ghana”, I concluded that the primary cause of default for energy related SOE and BDCs debts is due to the banks irresponsible credit decision. In this article, I will like to expand on the above referenced article and demonstrate…
-
Article:Poor credit practices, is the cause of high NPLs
Poor credit practices, not energy sector SOEs are the cause of high NPLs In a number of publications, I have read both practitioners and consultants in Ghanamaking the statement that debts owed to banks by State Owned Enterprises (SOE) especially in the energy sector[1] has been a primary cause of defaults in 2016. On two…
-
![Implications of Bank Holding Company under new banking model and Basel III rules [Article]](https://citibusinessnews.com/wp-content/uploads/2016/04/banks-in-ghana-1.png)
Implications of Bank Holding Company under new banking model and Basel III rules [Article]
Executive Summary When we think of banks, we typically have in mind our local bank branch that stores deposits and issues personal or business loans. Prima facie there is nothing wrong with this image. After all, there are still almost 35 unique commercial banks in Ghana that specialize in deposit-taking and loan-making. What we typically…
-
Tourism sector records worst performance in 2017 1st half
Statistics from the Ghana Investment Promotion Centre (GIPC) for the first half (H1) of 2017 shows that the tourism sector recorded its worst Foreign Direct Investment (FDI) Projects performance in 10 years. The sector recorded no new project for the H1 of the year although GIPC recorded 95 new FDI projects in the period. These…
-
Opportunities & challenges of G20 compact with Africa (Article)
The first meeting in Africa of Finance Ministers and representatives from the G-20 Compact with Africa (CWA) countries took place last week in Accra, Ghana. While Germany’s G-20 Presidency must be applauded for championing the Compact, Ghana’s Finance Ministry is to be commended for initiating what promises to be an exciting process of African peer…
-
Investments on the Ghana Stock Market; has the foreign investor benefited?
Investors all over the world lookout for avenues to put their funds in order to get some returns and the Ghana Stock Exchange is one of the possible options. In the article, “The performance of the GSE vs T-Bills”,published on citifmonline.com on 31st January, 2017, it was revealed that in the long term, the GSE…
-
Impact of new minimum capital requirement on banks (Article)
Capital requirement is the minimum amount of capital a bank or other financial institution has to hold as required by its financial regulator. A bank’s capital adequacy ratio on the other hand is expressed as a ratio of equity as a percentage of risk-weighted assets. These requirements are put into place to ensure that these…
-
Article: FNB delivers first class digital banking
Toma Imirhe and Elorm Desewu examine how one of the latest banks to enter the Ghanaian market is taking a profoundly different approach which stands to change the very nature of bank-customer relationships in the country. Every bank claims to be different from its counterparts but, in truth, few really are. Finally however, a new…
-
Article: How to confront the NPL crisis in Ghana
There is an issue plaguing the banking sector which is slowly killing the economy of the country. Yes, I am talking about uncontrolled lending. It seems like the banks have lent relentlessly and this is causing them to accumulate a lot of Non-Performing Loans (NPLs). Loans are considered to be non-performing when they are equal…