Energy Minister urges rural community banks to adopt innovate ways to make credit available

Dr Joseph Oteng-Adjei, Energy Minister, has urged Rural and Community Banks (RCBs) to find innovative ways of making credit easily available to rural population.

He said as banks owned by people in rural community, one of their key financial intermediation roles should be microfinance to help low-income, poor and vulnerable people to raise their income levels and living standards.

He said this should be done keeping in mind that the cost of credit should not be prohibitive, “especially in the face of our recent low Bank of Ghana policy rates.”

Dr Oteng Agyei was speaking at the 21st annual general meeting of shareholders of the Bosomtwe Rural Bank at Kuntanase in the Bosomtwe District on Tuesday.

He noted that when access to credit was enhanced people could finance productive activities that would permit income growth.

The Minister said given the positive outlook of the economy with the expected Gross Domestic Product (GDP) projected at about 14 per cent, the demand for financial services should continue to show robust growth.

He underlined the Government’s resolve to promote the evolution of a financial sector which is appropriate for the needs of a country moving towards upper middle income status.

Dr Agyei said it would therefore continue to develop, broaden and deepen the financial sector and improve governance in the financial markets.

He encouraged the Bosomtwe Rural Bank to take a second look at its corporate social responsibility in order to make greater impact on the development of communities in its operation areas.

Mr Edward Nti Berko, the District Chief Executive (DCE), appealed to the bank to do everything possible to help the local Assembly to recover all loans channelled through it to enable others to also benefit from the credit facility.

He reminded the employees of the bank to be honest and transparent to help to protect customers’ money.

Source: GNA