Panic withdrawals: Be calm, your monies are safe – Association of Savings & Loans appeals to depositors

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Executive Secretary of the Ghana Savings and Loans Association, Tweneboa Kodua  Boakye, has urged customers within the banking sector to exercise patience and restraint in the current trend of massive panic withdrawals being witnessed. 

And that even though some customers and sections of the general public are quite doubtful of the protection of their deposited funds, there is much security and monitoring in the system – thus, financial institutions are putting in measures to avert any insolvency.

Ghanaians in recent times have been withdrawing their funds from various banks due to the fear of losing their deposits particularly with the insolvency that hit the consolidated banks.

Speaking in an interview with Ekourba Gyasi on Atinka AM Drive, the Mr. Kodua, noted that Bank of Ghana has since been very stern on banks and financial institutions in following the regulations and applying the necessary measures to protect depositors fund.

“We should know that all banking activities carried out in Ghana are supervised and controlled by Bank of Ghana, hence customers should have faith in how far the Central Bank has and is sanitizing the system to ensure that depositors’ funds are safe”.

He, therefore, said customers and the general public must help the sector by not withdrawing their deposits and other investment to collapse the banks.

According to him, such development will cripple businesses and the economy since it is these depositors’ funds that are given out as loans to the general public. 
“I would therefore plead and urge customers to keep their funds with the banks,” he said.

Several reasons have arisen from financial experts being the cause of the panic withdrawal and amongst those, the Executive Secretary enumerated were that some customers have had the first-hand experience of their banks not being able to pay hem cash when they needed it.

Others too did so because of the views in the public domain that banks are becoming insolvent without enquiring whether or not their banks are affected.

Again, the sector in recent times has been going through structural developments which to some extent, exposed the banks; however, in our pursuance to make the sector vibrant the onus lies on all stakeholders to increase their efforts in ensuring efficiency and effectiveness.

Ghana || Patrick Ofoe Nudzi