President Nana Akufo-Addo has urged the authorities of the Bank of Ghana (BoG) to play its role without fear or favour to ensure that local banks are not defunct sector.

The president was speaking at this year’s CEO’s Summit. He argued that it is important for the BoG to carry out its duty without any political interference.

“We cannot afford instability or recklessness in the banking or financial sectors. For any loss of confidence in the banks is bound to have a ripple effect on the stability of the economy as a whole,” he cautioned.

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Last month, the Association of Indigenous Banks petitioned the president on the 400 million cedis recapitalization requirement. The Association asked the President to step in by extending the deadline to December 31st, 2022.

However, President Akufo-Addo urged the Bank of Ghana to disallow political interferences and deal with such issues professionally.

“I want to urge all of us to allow the regulator (Central Bank) to deal with these matters to restore sanity and confidence. It is in our interest that all financial matters are dealt with professionally and without any political interference no matter how tempting.”

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The president also called on the BoG to ensure that Ghana’s banking industry is not dominated by foreign-owned banks.

“It is important that the regulator recognizes that a banking sector dominated by foreign-owned banks does not bode well for the Ghana beyond aid project. It is essential that indigenous banks grow and survive in any meaningful reform of the banking system. And I’m confident that the regulator appreciates this.”