Finance Minister Dr. Cassiel Ato Forson has ruled out any immediate government intervention to recapitalise savings and loans companies, saying such institutions must take responsibility for strengthening their financial position through private-sector solutions.
Speaking on the Citi Breakfast Show on Friday, July 24, Dr. Forson said the government has limited resources and cannot justify using taxpayers’ money to support privately owned financial institutions at the expense of essential public services.
He encouraged savings and loans companies to pursue options such as mergers, strategic partnerships, attracting new investors or raising capital through the Ghana Stock Exchange to improve their financial health and long-term sustainability.
“At the moment, I have no plans to help with the recapitalisation of savings and loans companies. I like to be honest, and I don’t want to sit here and say I have it in my plans and fail tomorrow,” Dr. Forson said on the Citi Breakfast Show.
The Finance Minister noted that many private institutions are reluctant to dilute ownership by bringing in new investors, arguing that such an approach could ultimately strengthen their businesses.
“The problem in Ghana is that everybody wants to own 100 percent of something. I have said that 100 percent of nothing is zero, and one percent of something is still something,” he stated.
Dr. Forson stressed that government spending must remain focused on key national priorities, including education, healthcare and infrastructure, rather than recapitalising private businesses.
“I don’t have limitless resources. I have only tax revenue, and I need to account for it. I cannot cede it to another sector when public good is at risk,” he added.
Source: Citi Breakfast Show.
