Audio By Carbonatix
The Bank of Ghana (BoG) has directed Banks and Specialized Deposit-taking Institutions (SDIs) to desist from the payment of facilitation/business development fees or any other fees to attract deposits henceforth.
The Central Bank said any institution which fails to comply with this notice shall be severely sanctioned.
In a public notice, the Bank of Ghana said it “observed, during the banking industry clean up exercise, a practice whereby facilitation/business development fees or some other payments are made to agents who assist in the mobilization of Wholesale Deposits, particularly from the public sector.”
The BoG added that “The practice had the tendency to increase the “Cost of Funds” of institutions, which invariably was passed onto customers through high lending rates.”
The public notice signed by the Secretary to the BoG, Frances Van-Hein Sackey stated, “The Bank of Ghana wishes to draw the attention of Banks and SDIs to Section 16 (1) (f) of the Banks and Specialized Deposit-Taking Act, 2016 (Act 930) which gives the Bank of Ghana authority to revoke the licence of any institution which in the judgement of the Bank of Ghana, is deemed to be engaged in unsafe or unsound banking practices.
All Banks, SDIs and the general public are to take note of the above and be guided accordingly.”
DISCLAIMER: The Views, Comments, Opinions, Contributions and Statements made by Readers and Contributors on this platform do not necessarily represent the views or policy of Multimedia Group Limited.
DISCLAIMER: The Views, Comments, Opinions, Contributions and Statements made by Readers and Contributors on this platform do not necessarily represent the views or policy of Multimedia Group Limited.
Latest Stories
-
Port crises loom as 11,000 drivers threaten four-day strike
1 hour -
A source of excellence across generations – Vice President Opoku-Agyemang lauds Mfantsipim
2 hours -
(Photos) Mfantsipim School launches historic 150th anniversary
2 hours -
Knights and Ladies of Marshall group backs Catholic Bishops’ stance on anti-LGBTQ+
3 hours -
Bright Simons writes: All the Filla in the Ibrahim Mahama/E&P – Gold Fields Saga
4 hours -
Monetise Idiocy In Ghana
4 hours -
ECG kicks off Phase Two of transformer upgrades at Lashibi; brief outages expected
5 hours -
The Ghanaian prophet and the mysterious death of his scottish wife Charmain Speirs
5 hours -
Nearly 400 sentenced in Nigeria for links to militant Islamists
5 hours -
Ghana’s recovery supported by gold strength despite global oil price pressures – Standard Bank Research
5 hours -
Methodist Church hails Mfantsipim@150; calls for “fresh consecration” to excellence
6 hours -
‘Excellence is our inheritance’ – Nana Sam Brew-Butler hails Mfantsipim’s 150-year reign in leadership
6 hours -
Kwaku Azar writes: A-G vs OSP
6 hours -
Mfantsipim–Adisadel rivalry built excellence, not division – Sam Jonah
6 hours -
Vice President launches Mfantsipim’s 150 years of shaping Ghana’s greatest mind
6 hours