Dr. Papa Kwesi Nduom, the former PPP presidential candidate and business man is delighted about the prospects of his business GN Bank coming back to life.
His bank collapse amidst alot of confusion with government regulations during Nana Addo’s tenure.
Some of the factors attributed to the collapse of the bank are :
- Liquidity Issues: It is speculated that GN bank was unable to meet its liquidity needs, which led to closed-door meetings with the government and regulators to address the issue.
- Shareholders’ capital: The financial sector regulator requires a minimum capital by shareholders in order to operate as a bank. However, as speculated by some, the bank failed to meet this financial requirement.
- Failed government policy: Other experts also speculate that the closure of the financial institution was the result of a failed government policy.
The Bank’s license was revoked by the central bank in 2019 citing many regulatory breaches.
Responding to the speculations made by some experts, the CEO of GROUP NDUOM said his management made several petitions to the authorities but to no avail.
As of the time the bank collapsed, it had 300 operational branches in all 16 regions.
Of all the banks, it appeared GN served the rural banks quiet well. Perhaps that may be why the collapse of it has affected the rural areas so much.
The GN President Dr. Papa Kwesi Nduom since ex president Mahama won the elections has expressed high hopes of revamping his bank.
