The Association of Community Banks (ACB) Ghana has appealed to the Bank of Ghana (BoG) to provide additional support for community banks that may struggle to meet new regulatory and capital requirements following the sector’s transition from rural banks.
Speaking at the commemoration of 50 years of rural banking and the official conversion of rural banks into community banks in Accra on Thursday, July 16, the outgoing Board Chairman of Juaben Rural Bank PLC, Nana Dr. Appiagyei Dankawoso I, said the sector welcomed the reforms but urged the central bank to help smaller institutions adjust to the new regime.
He described the renaming of rural banks as a significant step that reflects the growing role the institutions play in promoting financial inclusion and community development.
“The decision to convert rural banks into community banks is more than a change of name. It is a statement of the Bank of Ghana’s commitment to engaging stakeholders and responding positively to constructive advocacy,” he said. “We commend the Bank for this landmark decision.”
Nana Dr. Dankawoso also thanked the Bank of Ghana for introducing rural banking five decades ago, saying the initiative had transformed Ghana’s financial landscape by extending banking services to underserved communities.
According to him, the sector has mobilised local savings, supported agriculture, financed micro, small and medium-sized enterprises, created jobs and contributed to poverty reduction and national development over the past 50 years.
Despite the achievements, he said some community banks could face challenges complying with the new regulatory framework and increased capital requirements.
“Therefore, we respectfully appeal to the Bank of Ghana to continue standing with banks that may find it difficult to meet their prescribed requirements within their stipulated timelines,” he said.
He further called on the central bank to provide guidance, technical assistance and practical transitional arrangements to help affected banks strengthen their operations without disrupting the financial services they provide.
“Such support will help preserve financial inclusion, protect jobs and sustain the developmental impacts that community banks have delivered over the 50 years,” he added.
Nana Dr. Dankawoso reaffirmed the Association’s commitment to working closely with the Bank of Ghana and other stakeholders to build stronger and more resilient community banks capable of driving local economic development.
He congratulated the Bank of Ghana and all stakeholders on the sector’s Golden Jubilee and expressed hope that the next 50 years would bring stronger partnerships, innovation and greater prosperity for communities across the country.
