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It is Never True that GCB, CBG, ADB and NIB are Struggling: Razak Kojo Opoku Writes

President Akufo-Addo’s Government has spent around GHS 21 billion to save monies of Depositors, in effect saving the entire banking and financial ecosystem of Ghana. It is never true that the distressed banks were in need of GHS 9 billion to survive.

Whoever would make such analysis that only GHS 9 billion was needed to save the collapsed Banks is mathematically weak, arithmetically impotent and completely ignorant of the banking/financial ecosystem of the Country.

It is never true that, GCB, CBG, ADB and NIB are struggling. The facts prove that indeed these banks are doing well.

1. GCB
The GCB Bank recorded a significant growth in Profit before Tax of GHS 573.67million in 2019, from GHS 450.17million in 2018, up by 27.4%. This is a solid revenue growth.

GCB invested about GHS10. 37 million in Corporate Social Responsibility(CSR) activities for 2019.

2. CBG
The Consolidated Bank, Ghana(CBG) registered a significant profit of GHS 64.9 million in the first nine months of 2019.

CBG recorded a significant growth in trade, around GHS 44.3 million. Fees and commission income was estimated at GHS 24million.

Deposits from customers stood at GHS 5.4 billion.

3. ADB
ADB capital has been recapitalized to GHS 571 million.

ADB recorded a significant growth of GHS 34million and GHS 38 million for 2019 and 2018 respectively.

Capital Adequacy Ratio too increased from 14. 57% in September 2018 to 15.87% in 2019.

4. NIB
In 2020, President Akufo-Addo’s Government injected GHS 800 million into the operations of National Investment Bank(NIB). This move by Government helped NIB to close its capital deficit as well as boost its operations, all in an effort to support the national industrialisation agenda of Akufo-Addo’s Government.

Therefore, it is complete ignorance for anyone to say that NIB, ADB, GCB and CBG are struggling banks.

The decision of President Akufo-Addo to establish a new bank known as Development Bank Ghana(DBG) with a facility of €170 million from the European Investment Bank(EIB) is a very excellent decision that deserves commendation, not condemnation.

The Development Bank Ghana would help to grow the manufacturing, ICT initiatives such as digitalization & digitization, as well as provide support to the indigenous businesses including agri-business.

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