Receiver for defunct Microfinance, Savings and Loans companies pays GH¢700 million to customers, announces final payments processes

March 2, 2020 5:49 PM

The Receiver for the 347 Microfinance institutions, 23 savings and loans and finance houses, whose licenses were revoked last year, Eric Nipah has announced commenced processes to complete final payments to depositors.

Receiver, Eric Nana Nipah

According to him, full and final payments are ongoing in line with government’s commitment to protect depositors’ funds and to shore up public confidence in the financial system.

Mr Nipah said this in a press release issued on Monday, March 2, 2020.

He noted that at the commencement of the resolution process, the government provided the receiver with funds to offset the growing economic hardship that vulnerable depositors were likely to face.

Following this, the payment of the remaining 40,000 depositors’ claims began on Monday 24th February 2020.

As of Friday 28 February 2020, depositors’ claims worth over GH¢700 million, had been transferred to Consolidated Bank Ghana for onward disbursement.

Out of over 360,000 depositor claims, which includes 39 Microcredit Companies placed under official liquidation, more than 320,000 in a number of validated claims were fully settled in cash.

The release also noted: “to fully settle the remaining 40,000 depositor claims in these receiverships as well as in the official liquidation of the 39 MCCs, the government provided additional funding by way of a combination of cash and bonds totalling approximately GHS5 billion to the Receiver and Official Liquidator.”