13,675 customers of S&Ls, MCIs paid their lock-up funds

Business News of Saturday, 29 February 2020

Source: classfmonline.com

2020-02-29

Eric Nana Nipah, Receiver for the collapsed 347 microfinance companies

A total of 13,675 customers of the defunct savings and loans, microfinance and microcredit institutions have been paid their locked-up deposits as of yesterday 28 February, 2020.

Out of this, 490 of the customers are companies, 581 are social organisations, 174 are financial institutions and 48 are financial securities entities.

12,382 are however individual or retail clients.

According to the Receiver, payments will continue till all the customers receive alert to access their deposits.

More than 4.5 million customers were affected by the collapse of the tier two and tier three financial institutions.

On the first day of payment, about GHS200 million was disbursed to 800 customers by the Receiver through Consolidated Bank Ghana.

The government, through the Ministry of Finance, on Monday, released GHS5 billion to the Receiver of the defunct Savings and Loans and Microfinance Companies, as well as the Official Liquidator of the Microcredit companies through Consolidated Bank Ghana (CBG).

This was in a combination of cash and bonds to fully settle all validated claims due depositors of failed Specialised Deposit-Taking Institutions (SDIs).

This intervention, the ministry said, will provide liquidity and guarantee the funds of individuals, businesses, and financial institutions that have been locked up in these defunct financial institutions, pending the completion of the Receivership exercise, adding, with this intervention, all depositors will now be paid in full