Adhere to good corporate governance practices - Databank CEO to colleagues

The CEO of DataBank Group, Kojo Addae-Mensah, has urged players in the financial services industry to adhere to good corporate governance practices in line with the Bank of Ghana's regulations, to flourish, after the sector cleanup exercise.

Licences of nine commercial banks, two finance houses, 386 microfinance and microcredits, 53 fund managers, 23 savings and loans companies were revoked as part of the banking sector clean up exercise, due to breaches of Act 930 coupled with severe impairment of their capital and inability to meet minimum capital.

The impact of the crisis included lack of confidence in the financial sector. This has also affected the investment banking sub-sector.

According to Mr. Addae-Mensah, intensifying education by financial services industry players is crucial to restoring confidence of customers in the sector.

Speaking to Class FM's Jerry Akornor on the sidelines of a media training session in Accra, Mr. Addae-Mensah said ucture of financial institutions are strong; if you look at the reports of the revocation, corporate governance runs through almost every single company so it's important that we get our corporate governance right.

He urged managers of banks and other financial institutions to desist from using clients funds for operational activities.

Journalists were taken through recent reforms in the financial sector and implications on the industry and investing in financial instruments.