BoG to be blamed for banking crisis – Jinapor

A member of the Finance Committee John Jinapor has said that the Bank of Ghana (BoG) is solely responsible for the crisis in the banking sector which caused the collapse of some 7 indigenous banks.

His comment comes after the governor of the BoG and some officials of the Finance Ministry appeared before the Finance Committee of Parliament to answer questions on the circumstances leading to the collapse of the banks.

In an interview with Accra-based Starr FM, Mr Jinapor said considering the answers given by Dr Addisson to questions on the circumstances leading to the banking crisis “clearly the fault ought to be put at the doorsteps of the Bank of Ghana and not any other person.”

“Any other thing that’s followed up for me is consequential on the fact that the Bank of Ghana failed to do due diligence to enforce the law. There was so much laxity and I think if there is anybody to be held responsible it ought to be the Bank of Ghana themselves, because clearly at the meeting, it is obvious that they failed to implement the law to the letter. There was some level of complexity. There was some level of laxity,” he added.

The former Deputy Power Minister added that the Finance Committee is not aware of the fate of the workers of Consolidated Bank of Ghana (CBG).

“As we speak we don’t…know the fate of the workers whether they are going to be guaranteed employment for one month, three months while they search for employment.”

Mr Jinapor added that the Committee’s attempt to get the Central Bank’s governor to make a definite statement on the employment status of the CBG staff was futile.

In a related development, the staff of CBG have been asked to re-apply for their jobs in a new memo.

A memo issued by the Managing Director of the CBG, Daniel Addo, said a link to the recruitment portal would be sent to the staff via email and those interested in having a future with CBG are required to submit their details and CV through the portal.