CAL Bank has announced it has met the GHS400 million minimum capital requirement set by the Bank of Ghana (BoG).
This comes after the bank’s shareholders at an extraordinary general meeting held on Monday, 17 December 2018 agreed and transferred GHS50 million from its income surplus to increase its stated capital to meet the GHS400 million requirement.
Speaking to Class Business, the Managing Director of CAL Bank, Frank Adu Junior said: “once the resolution has been passed you’ll need the central bank to agree that your audited results are acceptable and then you just register the increase at the Registrar General.”
The central bank on 11 September 2017, announced an upward revision in the minimum paid-up capital for existing banks and new entrants, from GHS120,000,000 to GHS400,000,000 representing a 233.33 per cent jump in the minimum capital requirement for banks in Ghana.
All banks have been given up to the end of December 2018 to comply with the new capital requirement.
According to the BoG, the move is to strengthen and modernise the financial sector in a bid to support the government’s vision and transformational agenda.