Former President and Flagbearer of the National Democratic Congress (NDC), John Mahama, has criticised the government's decision to close ten banks; a move that resulted in the loss of some 10,000 jobs.

In 2017, the former Finance Minister, Ken Ofori-Atta supervised the banking sector clean-up in a bid to restore confidence in the banking and specialised deposit-taking sector.

The government said the action was one of the contributory factors for the country’s high debt stock.

Read also: Banking sector clean-up served as a shock absorber during Covid-19, economic crisis – John Awuah

The clean-up saw a reduction in the number of banks from 34 to 23, whilst 347 microfinance institutions, 15 savings and loans, and eight finance houses had their licences revoked.

Speaking on the matter during a breakfast meeting with the clergy in the Volta Region, Mr Mahama argued that the closures were unnecessary and could have been avoided.

“If I were President, I wouldn’t have closed those 10 banks and thrown 10,000 of my citizens out of work. We could have saved those banks,” he said on Thursday.

He pointed out that while the banks were shut down for failing to meet the GH₵400 million capital reserve requirement, the government guaranteed deposits, leading to a GH₵22 billion debt—a solution he described as inefficient.

“This government solved a GH₵4 billion problem with GH₵22 billion debt,” he noted.

Acknowledging that the President holds significant discretion in making decisions, Mr Mahama urged the clergy to pray for leaders elected to lead the country.

He noted the importance of having discerning leaders capable of making decisions that will ensure the prosperity and progress of the nation.

“… that is why I say there is huge discretion in the Executive so we must be careful because elections have consequences and that is why as men of God you must pray that whoever is elected has the sense of discernment to make the right decisions so that our nation will prosper and progress.”