BoG to shut down 40 illegal microfinance firms

The Central Bank will soon close down forty illegal microfinance companies across the country.

The Bank received a directive to carry out the exercise after publishing names of 20 of such companies last year.

Mr. Raymond Amanfu, who is with the Financial Services Department of the Bank of Ghana told Starr News the Bank is going through the necessary procedures towards effecting the closure.

“We have just got approval. We are just going to go through what the law says we should go through. We have to get data on them, we have to do an audit to find out what properties they have…and then if we will revoke the licence, we give the list and the attached documents and properties that we have identified to the Economic and Orgnaised Crimes Office (EOCO),” Mr Amanfu said.

He also revealed that the minimum capital for microfinance firms will be increased to one billion Ghana Cedis as part of measures toward flushing out illegal microfinance institutions.