President Nana Addo Dankwa Akufo-Addo has defended his government’s banking sector clean-up, describing it as a vital move to protect Ghana’s financial stability rather than a personal vendetta.

In his final State of the Nation Address on 3 January 2025, Akufo-Addo explained that the reform, initiated in 2017, aimed to address significant challenges within the sector that threatened its long-term viability.

The clean-up involved the revocation of licenses for underperforming banks, mergers, and the closure of others. The government’s objective was to restore confidence in the financial system and safeguard depositors’ savings.

Akufo-Addo called the decision a “courageous and decisive” intervention, which he said helped secure the integrity of the banking sector despite the difficulties encountered during the process.

“The banking sector clean-up was an act of necessity, not vendetta,” the President stated. “It was a bold move to strengthen Ghana’s financial system.” He emphasised that the legal and financial irregularities within the affected institutions had posed a serious threat to the savings of many Ghanaians.

Akufo-Addo highlighted that the reforms had ultimately led to a more stable and resilient banking sector, able to support the country’s economic growth. “Our actions ensured that not a single depositor lost their money—a historic achievement in crisis management,” he added.

The President concluded by asserting that the clean-up had successfully restored public trust in the country’s financial institutions.

Source:TheDotNews