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Akufo-Addo has shown good faith to customers of collapsed financial institutions – Mpraeso MP

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The Member of Parliament for Mpraeso, Seth Kwame Acheampong says the Akufo-Addo government has demonstrated good faith to the customers of the collapsed financial institutions.

According to the Mpraeso legislator, despite the challenges the current administration finds itself in, it has shown excellent leadership.

“The NDC talks about we [government] giving some cash. At least as the political party who came in government and inherited these difficulties and is still faced with it, we’ve demonstrated that the intention is to secure our depositors’ funds and ensure that the people who are within the economic space are well taken care of. We have demonstrated that enough.”

“We [government] are not just saying it but we are giving effect to what we say so when you put the two together, we have said we will pay and we have gone ahead to… we have some good faith with the people of this Republic.”

His comments come on the back of the promise by the flagbearer of the opposition National Democratic Congress, John Mahama‘s promise to pay customers of the collapsed financial institution within one year if elected president in the 2020 presidential polls.

While delivering his address during a ceremony to outdoor his running mate for the 2020 elections, Mr. Mahama said his government shall implement a payment plan to pay these customers in full.

“Within our first year in office, we shall pay all the beneficiaries all funds locked up in the collapsed financial institutions and its a promise. We shall not put together any long term payment plan that will further worsen the living conditions of the victims,” he noted.

Banking crisis

The financial sector cleanup commenced by the Akufo-Addo administration in August 2017 led to the collapse of nine universal banks, 347 microfinance companies, 39 microcredit companies or money lenders, 15 savings and loans companies, eight finance house companies, and two non-bank financial institutions.”

The Securities and Exchange Commission (SEC) also announced the revocation of licenses of 53 Fund Management Companies.

The total estimated cost of the state’s fiscal intervention, excluding interest payments, from 2017 to 2019 was pegged at GHS16.4 billion.

The collapse of the institutions left clients in distress as many of the customers have been struggling to retrieve their savings and investments.

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