Bank of Ghana has closed down 23 Savings and Loans companies.

Documents available to Starrfm.com.gh contain some heavy weights in the savings and loans sector such as Midland, Ideal, uniCredit and Global Access whose licenses have been revoked after a review exercise in the past months.

According to reliable sources at the Central Bank, most of these savings and loans companies are insolvent hence “it has become necessary to shut them down.”

Confirming the news in a statement, BoG said: “The revocation of the licences of these institutions has become necessary because they are insolvent even after a reasonable period within which the Bank of Ghana has engaged with them in the hope that they would be recapitalized by their shareholders to return them to solvency. It is the Bank of Ghana’s assessment that these institutions have no reasonable prospects of recovery, and that their continued existence poses severe risks to the stability of the financial system and to the interests of their depositors.”

Other notable savings and loans outfits to fold up per the confidential list are: Accent, Adom, Alpha, All Time, ASN, CDH, Commerz, Crest, Dream Finance, Express Savings and Loans, First African Savings, First Allied, First Ghana, First Trust Savings and Loans.

The rest are: GN Savings and Loans, Legacy, IFS, Sterling, and Womens World Bank.

Starrfm.com.gh can reveal a meeting has already been held to brief selected staff of BoG on how to go about the shutdown operation and “documents to request when the head offices and brances of the savings and loans companies are closed.”

Meanwhile, the Bank of Ghana has also appointed Mr. Eric Nipah as a Receiver for the affected institutions.

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