Parliament’s Finance Committee has recommended an introduction of a Financial Stability Act that will ensure the creation of a common platform for up-to-speed information sharing amongst institutions in-charge of regulating the country’s financial sector.
The Committee said lack of collaboration amongst the country’s four regulators of the financial sector contributed to the collapse of the seven indigenous banks.
The institutions are the Bank of Ghana, National Insurance Commission, Securities and Exchange Commission and the National Pensions Regulatory Authority (NPRA).
According to the Finance Committee, the crisis in the banking sector could have been averted if the institutions had shared data about the operations of the collapsed banks.
Briefing the media at the end of the three-day sitting on the Banking Crisis, Chairman of Parliament’s Finance Committee, Dr. Mark Assibey Yeboah said the need for collaboration amongst the four state agencies is necessary to avert further crisis in the financial sector.
Although the preliminary probe into the collapse of the seven banks has ended, the National Insurance Commission has been scheduled to reappear before the Committee at a later date, with more information to assist in the investigation.
Also appearing at a later date is the National Pensions Regulatory Authority (NPR).
Inspite of the current crisis in the financial sector, Dr. Mark Assibey Yeboah said the country’s banking sector is strong enough to support businesses and the growth of the economy.