The Bank of Ghana has confirmed that the operating licence of GN Bank, which was revoked in 2019, will not be reinstated, following a Supreme Court ruling that upheld the regulator’s decision.
According to the central bank, the revocation was necessitated by GN Bank’s severe financial distress, including insolvency, a negative capital adequacy ratio of minus 61 percent, and persistent failure to meet statutory cash reserve requirements.
These conditions, the Bank of Ghana said, posed significant risks to depositors and the stability of the financial system.
While the regulator remains open to receiving new licence applications from qualified entities that meet current regulatory standards, it clarified that former directors of GN Bank are disqualified from participating in any new banking licence applications.