Recent policy measures introduced by the BoG are commendable – Akufo-Addo

“I am also encouraged by the many corporate governance measures put in place by the BoG to mitigate future bank failures and ensure that we have a strong banking sector to drive the agenda of transformation. Recent policy measures introduced by the BoG are commendable and in line with efforts to move Ghana to a situation beyond aid” President Akufo-Addo has said.

According to President Nana Addo Dankwa Akufo-Addo, corrective action was necessary to address imbalances and restore stability following the onset of the COVID-19 pandemic, the effects of which were further exacerbated by the conflict between Russia and Ukraine.

The Bank of Ghana (BoG) is helping to restore macroeconomic stability, he said.

According to him, the BoG has helped the government by offering a solid foundation for its efforts to diversify and transform the economy.

“Again, there is clear evidence that inflation is being contained. From 54 percent in December 2022 to 26.4 percent in November 2023. We are also witnessing sustained stability of the exchange rate. The effective partnership between the BoG and the IMF under the terms of the government’s programme with the fund is yielding the right results,” the president said.

In reference to the financial industry, it should be remembered that inadequate corporate governance practices in certain bank failures were among the reasons the Bank of Ghana attributed to their problems.

UT Bank, Capital Bank, UniBank, The Royal Bank, The Beige Bank, Sovereign Bank, The Construction Bank, Premium Bank, and Heritage Bank were the nine banks that failed during the financial sector clean-up.

“I have also taken a keen interest in the bank’s role in the digitization of the economy. The architecture of our payment system has been transformed completely and financial inclusion has been deepened to ensure shared growth for all Ghanaians. All these make the BoG an institution of excellence, reflecting the recent international recognition of the central bank. The bog has won the Central Bank of the year awards two times with the governor, Dr Ernest Addison on one occasion being adjudged the central bank governor of the year,” he said during the end-of-year cocktail dinner by the central bank last week.

Source: Ghanatodayonline.com