Parliament passes Banks and Specialised Deposit-Taking Institutions bill
Parliament yesterday passed the Banks and Specialised Deposit-Taking Institutions Bill, 2015 into law.
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The Act is to consolidate the laws relating to deposit taking and regulate institutions which carry on deposit-taking business.
The Act indicates that the Bank of Ghana (BoG) shall have overall supervisory and regulatory authority in all matters related to deposit taking.
It stipulates that authorised agents include an apex body, network, industrial association, self-regulatory organisation or any other person recognised by the BoG.
Eligibility to take deposits
The Act says a person shall not carry on a deposit-taking business in or from within the country unless that person is a body corporate formed under the laws of this country.
Again, it stipulates that a person that is not a body corporate formed under the laws of the country may, with the prior written approval of the BoG, carry out a deposit-taking business in or from within the country.
It says a person shall not propose to be a shareholder of a deposit- taking microfinance institution unless that person is a citizen.
The Act says the BoG may issue directives to govern the operations of persons exempted under subsection two.
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Licensing authority
The Act says the BoG shall have the sole responsibility for the issuance of licences to banks and specialised deposit-taking institutions.
The central bank also has the authority to grant approval to foreign banks with respect to the establishment of representative offices and the registration of financial holdings.