Business News of 2013-12-09

BoG ask to investigate applicants of microfinance companies

The Bank of Ghana (BOG) has been called upon to investigate and know the financial background of microfinance companies before issuing them with licenses to operate.

This will enable the BOG to identify those companies that could function when granted the license. Mr Samuel Kofi Mensah Abrompa Okyn, Microfinance Co-ordinator of Microfin Rural Bank at Gomoa Pomadze made the call at the 29th National Farmers Day at Gomoa Abaasa.

He stated that the situation where some micro-finance companies ran away with monies of innocent customers in the rural areas, was not the best. Mr Okyn urged BOG to strengthen its monitoring unit, in order to check micro-finance companies in order to save customers from suffering from fraudulent activities.

Mr Okyn said the illegal activities of some microfinance companies in the past, is currently affecting the services of most rural banks He, therefore, appealed to BOG to intensify its monitoring activities, to help flush out unscrupulous micro-finance companies.