The multi-sectorial stakeholders engaged by the Bank of Ghana in effort to draft a framework for the introduction of Non-Interest Banking and Finance in Ghana have commended the Central Bank for the initiative.
During an engagement with journalists in Winneba, Prof. John Gartchie Gatsi, an Advisor on NIBF explained that the Securities and Exchange Commission, National Insurance Commission and the Bank of Ghana are working together to develop frameworks needed to regulate Non-Interest Banking and Finance in Ghana.
The Central Bank, an independent regulator of the banking industry and mandated to expand the financial ecosystem, is poised to step up processes to deepen financial inclusion, broaden real sector financing through the NIBF. Also, per its mandate which cannot be tele-guided, the bank adopted the approach of stakeholder engagement to ensure transparency, avoiding religious misconceptions and improving on financial inclusion.
In light of this, the Bank considers the approach adopted by the experts-team as part of the roadmap to draft an operational framework for the introduction of Non-Interest Banking and Finance in Ghana as progressive.
The stakeholder engagement has become necessary as no group of people or an individual has the power nor influence to direct how the Bank of Ghana functions.
The critical stakeholders in and outside Ghana include: the media; Christian leaders and organisations (including; Christian Council, Ghana Pentecostal , Alliance for Christian Advocacy Africa and Charismatic Councils, Catholic Bishops Conference ); and selected professional bodies. The advisor explained that it is impossible to invite the leadership of all religious groups.
On the jurisdictional front, the team had engagement with the various institutions in the United Kingdom virtually. In the UK, the team engagement Bank of England through Prudential Authority of the UK and Financial Conduct Authority of the UK. The also visited Various institutions in Malaysia and Nigeria and is convinced about the non- discriminatory business model of. NIBF
At the engagements with Journalists in Winneba, Prof. Gatsi explained that, the Bank is working hard to open the door for Non-Interest Banking and Finance to the private sector to invest in this banking model based on the commercial benefits and overall contribution to financial sector development. He further explained that it is not the government nor the Bank of who is establishing the NIBF but private individuals who meet the licensing requirements.
Clarifying the aspects of religious misconceptions, he explained that, all those misconceptions are not real and that the reality is that the economy of Ghana is the gainer as the economy will be supported through the new banking and finance model.
Consequently, he advised that no language is a religion and also the Bank of Ghana will not meddle in religious matters and will not show bias to any religious groups or any act underpinning individual or group who has not conducted any empirical study with the conclusion that NIBF is a destroyer of economies and promote a particular religion.
He therefore appealed to all to cherish the interfaith dialogue platform to address religious issues.
