The Bank of Ghana (BoG) has announced that it will present its final report of the proposed Minimum Capital requirement to the board of the bank by close of this year.
The Bank of Ghana earlier this year met with the International Monetary Fund to design regulatory capital and the economic capital.
Currently, banks are required to hold 120 million cedis as the minimum capital. Some observers have predicted that the increase may go beyond 300 million cedis.
Speaking to Citi Business News, the Head of Banking Supervision at the bank of Ghana, Mr. Raymond Amanfu disclosed that the bank will by close of this year present its recommendations to the board of the bank to decide on the implementation.
According to him, there are many parameters that have been drawn to allow the board and management design the implementation modalities.
“There are a whole lot of parameters, as a regulator I will have to push all those parameters together and then my board will look at it and then look at the options and then decide,” he explained.
He pointed out that these modalities will included the time frame banks are required to fulfill the requirement and how it will be carried out.
“The work has been done it is left with management and the board to decide and then look at the option s. the options are basically, how much, how they are going to pay it , how do we stagger it or we will ask them to bring lump sum , what time frame are we looking at,” he said.
By: Lawrence Segbefia/citibusinessnews.com/Ghana