The Council of State has urged struggling banks to either merge or comply with the directive from the Central Bank.
Following a petition submitted to President Akufo-Addo by the local banks to intervene on their behalf to the directive from the Bank of Ghana, the Council of State met with the central bank on the directive for banks to raise the new GHS400 million capital required.
The Council says it supported the measures instituted to ensure prudence in the banking sector and urged that the Bank of Ghana to intensify its public engagement.
A statement issued by the Acting Secretary of the Council, Peace Okantey said:“Ultimately, depositors’ interests must be protected at all times and the public needs to be assured to boost confidence in the banking sector.”
The Council of State is convinced that mergers will enable the indigenous banks to compete favourably.