The GN Bank is now a savings and loans company.
The degrading is due to the inability of the bank meet the Bank of Ghana minimum capital of GHS400 million by December 31, 2018
The Bank of Ghana announced this today at a press conference addressed by the governor Dr. Ernest Addison.
The governor also announced that Vish Ashiagbor of the international audit firm Pricewaterhouse Coopers has been appointed an advisor for GN Bank to ensure a smooth transition to a micro-finance company.
He also confirmed reports that Stanbic Bank will now take over deposits of customers of the Bank of Baroda.
Three banks – First Atlantic Merchant Bank/Energy Commercial Bank, Omni Bank/Bank Shael Sahara and First National Bank/GHL Bank – have also received the approval of the Central Bank to merge.
Five indigenous banks – ADB, NIB, Omni/BSIC, UMB and Prudential – will be benefiting from government GAT initiative with the Bank of Baroda existing and transferring its customers to Stanbic Bank.
Dr Addison also revealed that the operating licenses of Premium Bank and Heritage Bank have now been revoked over various issues including low capital.
The capital adequacy ratio of Premium Bank, for example, was found to be negative 125%.
As a result, selected assets and liabilities of the Premium Bank and Heritage Bank will now be transferred to the Consolidated Bank.