Why Access Bank Ghana, needs over GHS 400m capital

Access Bank Ghana, has given assurance of commitment to meeting regulatory requirement of the bank of Ghana, as the country regulates capital raising for deposit money banks in the country to GHS 400 million.

The bank’s parent, Nigeria’s Access Bank Plc, majority shareholder of Access Bank Ghana, recently that beefing up the Ghana’s sub over GHS400million will position he bank in advantaged position to take up more rewarding opportunities that offer great value to shareholders.

Access Bank Nigeria revealed is readiness to speedy recapitalization of its Ghana’s subsidiary, by infusing more capital into it before end of first quarter of 2018, as would be endorsed by relevant regulatory authorities.

It said that the expected recapitalization fund injection, a tier 1 capital forms part of the bank’s recapitalization exercise, began last year with the Bank selling its shares through an Initial Public Offering (IPO) and subsequently being listed on the Ghana Stock Exchange as the first Ghanaian Bank with Nigerian heritage.

The move is expected to enable Access Bank Ghana meet the new capital requirement of GHS 400 million set by the Bank of Ghana, the new capital is also expected to enhance the capacity of Access Bank Ghana to undertake large ticket transactions in key sectors of the economy.

Group Managing Director/CEO of Access Bank Plc, Mr. Herbert Wigwe, noted that Ghana is an important market within the Access Bank Group; and its impressive performance over the past eight (8) years provides the basis for further investments to boost its growth aspirations.

Our new investment into Access Bank Ghana signals the confidence and trust we have in the Ghanaian economy as a safe, peaceful and thriving place to do business. In pursuing the Bank’s vision of building the World’s Most Respected African Bank, we are making strategic decisions in the various markets we operate to position our banking franchise favorably in the market to support the development agenda of the economies,” he said.
The Managing Director of Access Bank Ghana, Mr. Dolapo Ogundimu, said that the new capital would strengthen the capital base of the bank and enable it to take advantage of new business opportunities in the operating environment.

He said,“The Bank of Ghana had long stated its plan to increase the minimum capital requirement for banks in Ghana so we have always had this under our radar as it was also consistent with our strategy to build a sustainable bank”.