Jimoh Ibrahim's Energy Bank Gets Ghanaian Banking License

Details: Category: International; Published on Wednesday, 23 February 2011 08:11; Written by ThisDay; Hits: 2622

The Bank of Ghana yesterday in Accra, handed over Class “A” Banking License to the Energy Bank Ghana Limited established by a Nigerian business mogul, Jimoh Ibrahim, at a ceremony witnessed by the President of the Republic of Ghana, Professor John Atta Mills.

This is coming as Ibrahim pledged to invest $50million towards building a first class hospital in Ghana. Handing over the banking license to Ibrahim, the Governor of Bank of Ghana, Mr. Kwesi Bekoe Amissah –Arthur said the Energy Bank Limited had met the minimum share capital requirement of 60million cedis for first class banks in Ghana and passed other checks by security agencies.

He noted that the investment was a demonstration of the confidence of foreign investors in Ghanaian economy. “The name selected for this bank is interesting. It shows that the bank has decided to position itself to take advantage of the huge potential in the energy and petroleum sector. Just as the sector has great prospects; it carries with it enormous risks. But the background of the promoters gives some comfort, even though there are huge challenges that can only be overcome with dedication,” he said.

He however cautioned that the board of the Energy Bank should know that the share capital could easily fizzle out, if not properly managed and advised them to be innovative in order to remain competitive in the banking sector.

Speaking while inaugurating the bank’s office complex, President Mills said it was a demonstration of the confidence of the international business community in the economy of Ghana.

He appealed to the Energy Bank and other financial institutions in Ghana to reduce the cost of credit in order to create jobs and invest in human resources.

“We welcome wholeheartedly, the Energy Bank into the business community of our dear nation. We know that with their antecedents and with the kind of support that they have, they should not find it difficult to operate in the Ghanaian business community,” he said.

In his speech, the Chairman of Energy Bank, Barrister Ibrahim said Ghana’s banking sector was one key institution in that country’s success story.

“It is amazing to see 28 Ghanaian banks having over $1billion shareholders fund spreading across all aspects of banking in a 25million population of Ghana; compared with 23 Nigerian banks with shareholders fund of about $1.9billion for 150 million population. There is no doubt that Ghana presents a future economic stability guarded with robust human resources of the Bank of Ghana,” he said.

“Mr. President, I am encouraged by the development in Ghana and as someone, who prize intellectual capacity in high esteem over moral intelligence, I cannot but appreciate a growth that is propelled or instigated by brainstorming exercise rather than any other incapable one that is influenced by local circumstances and ethnic zeal or overzealous retaliatory attack that have no fundamental bearing on your sustained economic growth,” he added.

He commended President Mills for being prudent and not overheating the system in the face of global recession.
“As a mark of our love for the government and the people of Ghana, our Group will further invest $50million, in the first instance, towards building a first-class hospital, provided the government will provide land where such hospital will be built,” he said.