The Bank of Ghana (BoG) Governor has rejected accusations leveled against it for failing to supervise the activities of some Micro Finance Institutions assuring to make sure they bring to book institutions not operating per the rules of the Central Bank when they go on their yearly inspection.
Governor of the Bank of Ghana (BoG), Dr. Henry Kofi Wampah says the Central Bank has a responsibility to monitor such companies on yearly basis and that has been done over the years.
“We cannot go every day to an institution on the mission to see exactly what they do, because the laws of the land demands we go for inspection on yearly basis, and if an institution is not performing well or done something wrong we (Bank of Ghana) would only get hold of the them when we go on inspection,” he said.
However, President John Dramani Mahama during his State of the Nation Address blamed the Central Bank for failing to protect depositors of DKM Diamond Micro Finance Company who have lost millions of cedis after the scandal.
Addressing Members of Parliament (MPs) and responding to series of questions yesterday in a Committee of the Whole sitting, Dr. Henry Kofi Wampah noted that this is not the first time institutions have failed.
According to him, auditing firm, Price Water House Coopers (PwC) is assisting the Central Bank with liquidation process adding that they have already revoked the license of DKM Diamond Micro Finance Company.
Dr. Wampah stated that officials of the Central Bank realized that DKM could not pay their customers so they had to start the liquidation process adding that “We have to ascertain the total assets of these institutions and those liquidated companies. Once we ascertain those things we can have a programme to pay off depositors.”
MP for Wenchi, Professor George Gyan Baffour according to Joy FM News has asked the Central Bank to buy the debt, bail the companies out and pay depositors off for calm to retrun.
Source: Elizabeth Semiheva/Peacefmonline.com