bog.gov.gh How to Get a Banking License : Bank of Ghana

Organisation : Bank of Ghana
Facility : How to Get a Banking License
Country : Ghana

Homepage : https://www.bog.gov.gh/
Terms & Conditions : https://www.statusin.org/uploads/26733-BANKING-LICENCES.pdf

BOG How to Get a Banking License

1. Restricting Eligibility to Corporate Bodies
No person other than a body corporate shall be eligible to apply for a licence to carry on the business of banking in Ghana.

Related : Bank of Ghana Requirement for Applying Micro Finance Institution License : www.statusin.org/26736.html

2. No person(s) shall carry on the business of banking (whether as principal or agent) except by or under the authority of licence issued in accordance with the Banking Act, 2004 (Act 673) as amended by the Banking (Amendment) Act, 2007 (Act 738).

3. Application for Licence :
A. Every application for a licence shall be made in writing to the Central Bank and shall be accompanied by :

i) A certified true copy of the Regulations or other Instrument relating to the proposed business of banking, or by or under which any person proposing to carry on such business was established.

ii) Names, addresses and occupations of persons including their corporate affiliations who would hold significant shareholdings directly or indirectly in the proposed banking venture and the respective values of such holdings as also their corporate affiliations.

iii) Particulars of the directors and key management personnel concerned with the management of the banking business, including their background, certified financial position, business interests and performance of the business concerns under their control or management.

(iv) statutory declaration from each would be directors stating whether she or he had
** ever been convicted of any offence by a competent court of jurisdiction.
** censured, disciplined or warned as to their conduct,

** publicly criticised or made the subject of a court order at the instigation of any regulatory body in which she/he belongs
** each director should also submit a Criminal Record Certificate from the Criminal Investigation Department.

v) Feasibility reports including a business plan and financial projections for the first five years and areas of specialisation, if any, intended.

vi) Capital and sources of funds and
vii) Such other particulars as the Central Bank may require

B. The Central Bank may interview the promoter, directors and proposed senior management personnel in the course of appraisal and may also inspect their books and records to satisfy itself about the representations made or information furnished by the applicant.

4. Permissible Activities of Banks :
A bank shall be permitted to carry on any of the following banking business activities :
(a) acceptance of deposits and other repayable funds from the public;
(b) lending;
(c) investment in financial securities;

(d) money transmission services;
(e) issuing and administering means of payment including credit cards, travellers cheques and bankers’ drafts;
(f) guarantees and commitments;

(g) trading for own account or for account of customers in,
(1) money market instruments,
(2) foreign exchange, or
(3) transferable securities;

(i) participation in securities issues and provision of services related to those issues;
(j) advice to undertakings on capital structure, acquisition and merger of undertaking;
(k) the keeping and administration of securities;
(l) credit reference services;

(m) safe custody of valuables;
(n) electronic banking; and
(o) any other services as the Bank of Ghana may determine.

5. Processing Fee and Licensing Fee :
Non-refundable processing fee shall accompany each application as well as a licensing fee before the final issuance of the banking licence as indicated below :

Type Of Fee :
Processing Fee : GH¢20,000
Licensing Fee : GH¢100,000
Annual Licence Fee : GH¢10,000