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Ghana’s Shutdown of Second-Tier Lenders Seen Risking 4,000 Jobs

  • Central bank ordered closure of 23 savings and loans companies
  • Steps are part of Bank of Ghana’s cleanse of finance sector
The Bank of Ghana stands in Accra, Ghana.

The Bank of Ghana stands in Accra, Ghana.

Photographer: Ruth McDowell/Bloomberg
Updated on

Ghana risks losing 4,000 jobs from its effort to clean up the finance industry.

The central bank announced last week it had revoked the licenses of savings and loans companies as well as finance houses and appointed a receiver to manage their affairs. The steps marked the end of an industry cleanse of lenders and second-level financial institutions that started in August 2017 and cost the government at least 12 billion cedis ($2.2 billion) in bonds and cash to cover depositors’ holdings.