National Service Authority partners Absa Bank to introduce overdraft facility for service personnel

The National Service Authority (NSA) has entered into a partnership with Absa Bank Ghana and the National Service Personnel Association (NASPA) to provide financial relief for National Service Personnel (NSPs).

The arrangement introduces an overdraft facility aimed at cushioning personnel amid frequent delays in monthly allowance payments.

Announcing the partnership in a statement dated April 17, the Director-General of the NSA, Ruth Dela Seddoh, said the intervention is designed to prevent hardship among service personnel.

“We hear the frustration of our service personnel, and we are taking concrete action. Delays in release of funds have, at times, placed hardship on young graduates serving their nation,” she stated as quoted in the statement.

She explained that NASPA played a key role in facilitating the collaboration between the Authority and the bank, ensuring that concerns of personnel were well represented in the agreement.

Under the arrangement, Absa Bank will offer qualifying NSPs an overdraft of up to 85 percent of their monthly allowance.

The facility comes with zero interest during delay periods, no collateral requirements, and automatic repayment once allowances are paid.

On their part, the Managing Director of Absa Bank Ghana, Edward Nartey Botchway, said the bank understands the financial strain on young service personnel.

“At Absa, we understand how allowance delays can put real pressure on young graduates, especially when they are trying to cover basics such as rent and transport,” he said.

The initiative comes amid long-standing concerns over intermittent delays in the disbursement of NSA allowances.