Microfinance Network Beg Customers Against Panic Withdrawals

The Ghana Micro Finance Institutions Network (GHAMFIN) is appealing to the public not to resort to panic withdrawals, following the cleanup exercise by the Bank of Ghana (BoG).

The group in press statement assured that “it is safe to do business with the 137 microfinance and 31 microcredit companies” in good standing.

The Bank of Ghana last week revoked the licenses of 347 microfinance companies and 39 microcredit companies after the regulator declared them as being insolvent.

Reacting to the situation for the first time, GHAMFIN pointed out that the sector remains the main source of access to finance to the informal sector of the economy.

The group was hopeful the Receiver named by the Bank of Ghana, Eric Nana Nipa will announce venues for payments to clients of the collapsed companies.

“We entreat the clients of affected institutions should remain calm as the government has made provision to enable the receiver settle depositors upon validation of their claims,”

The statement disclosed that GHAMFIN has been in contact with the Bank of Ghana prior to the exercise.

GHAMFIN is a network of Microfinance Associations and member of microfinance institutions engaged in the provision of microfinance services.

---citinewsroom