Exposure Draft – Notice on Regulatory Measures to Reduce Non-Performing Loans (NPLs)

In response to the high Non-Performing Loans (NPLs) in the Banking Industry, the Bank of Ghana (BOG) has reviewed its policy on problem assets to address the increasing risks to the industry’s profitability, liquidity and solvency as well as threat to the stability of the financial system.
This Notice re-emphasizes existing prudential guidance and highlights additional measures in line with international best practices for managing credit risks. The Regulatory Measures underlisted are issued pursuant to Section 92 of the Banks and Specialised Deposit-Taking Institutions Act, 2016 (Act 930) as well as Non-Bank Financial Institution (NBFI) Act, 2008 (Act 774) and shall apply to all Banks, Specialised Deposit-Taking Institutions (SDIs), and Non-Bank Financial Institutions (NBFIs) collectively referred to in this Notice as “Regulated Financial Institutions (RFIs)”.