A former Suame Youth Organiser for the New Patriotic Party (NPP) has publicly refuted assertions made by ex-Cal Bank Managing Director Frank Adu, accusing him of “whitewashing” failures by focusing criticism solely on President Akufo‑Addo and former Finance Minister Ken Ofori‑Atta.
He accused Mr Adu of deliberately ignoring evidence that justified the overhaul of the banking sector.
According to the former organiser, the Bank of Ghana and the IMF’s Asset Quality Reviews identified multiple undercapitalised banks in 2014/15, prompting the establishment of statutory reforms through Act 930.
“These institutions… had lost their franchise value,” he stated, and needed resolution before causing a wider systemic collapse.
He praised the NPP’s 2017 financial sector clean-up for preventing a full-blown banking crisis and safeguarding investments, including those in Cal Bank—a move he said also benefitted Mr Adu.
“No one was ready to invest in an entity that had lost its franchise value… The exercise of consolidation was to save deposits and as many jobs as possible,” he explained, noting that Mr Adu’s own investment was protected by government intervention.
He concluded by pointing to the sector’s impressive post-clean-up performance—stating that the financial industry’s total asset base grew by 33.8%, deposits rose by 28.8%, and liquidity ratios improved.
“All the performance indicators show that the sector… returned to profitability at the end of 2024,” he concluded, challenging Mr Adu to revisit the factual record before making further claims.
Source: Myjoyonline
