Credit Risk Management Directive: BoG to begin implementation for banks, others from July 1, 2027

According to the Bank of Ghana, the effective management of credit risk within a comprehensive risk management framework is fundamental to the safety and soundness of banks, finance houses, savings and loans companies or financial holding companies regulated under the Bank and Specialised Deposit-Taking Institutions Act, 2016 (Act 930), hereinafter referred to as RFIs.

Johnson Asiama The Bank of Ghana from 1st July 2027 will begin the implementation of the Credit Risk Management Directive for all Banks, Savings and Loans, Finance Houses and Financial Holding Firms.

The broad objective of the directive is to enhance the resilience of Regulated Financial Institutions (RFIs) by ensuring that they establish and fully implement adequate and effective credit risk management systems that commensurate with their risk-taking activities and capital strength.