Ghana Central Bank to launch new MFI regulation
New regulations aimed at improving regulation of microfinance institutions operating in Ghana are to be introduced by the country's Central Bank.Luv Biz reports the body has expanded the categorisation of non-banking financial institutions, adding another tier to include money lenders, susu companies, susu collectors and financial non-governmental organisations.
The move has been made in order to adhere to Ghana's Non-bank Financial Institutions Act, with
the new arrangements
expected to be phased in over the next six months.
Susu providers have welcomed the move, with Nicolas Osei, Chairman of susu firms in the Ashanti region of the country, telling the news source that regulation will result in improved public confidence in the sector and more jobs being created.
Joy Online recently reported demand from Ghanaian residents is resulting in growth in the number of MFIs operating across the nation.
It said the expansion of this market should promote competition within the financial sector.