Financial analyst Toma Imirhe has expressed scepticism about the future prospects of GN Savings and Loans Company Limited despite the recent restoration of its operating licence and the return of its assets to its original owners.
However, according to Toma Imirhe, the bigger challenge lies not in getting regulatory approval but in rebuilding the institution from the ground up and regaining the trust of the public.
Speaking on Eyewitness News on Thursday, May 21, the financial analyst cautioned that many financial institutions that have gone through similar situations often struggle to regain momentum even after having their licences reinstated.
He pointed out that rebuilding a financial institution involves several complex steps, including recapitalisation, staff recruitment, operational restructuring, and restoring public confidence, especially among customers who may still be wary after the events of the financial sector reforms.
Referencing previous examples within the financial sector, he questioned whether the company would be able to attract depositors after the experiences many customers faced during the clean-up exercise.
“They have got their licence back but you remember Unicredit also got their licence back some years back and what came of it? You see, getting your license back is one thing, being able to resume business is another thing entirely. First of all, you have to now get sufficient share capital. You need to regain the confidence of depositors. You have to get your staff back.
“These are all very high hurdles that GN Savings and Loans will have to overcome. So, I already have my doubts. Would you go and put your deposits with GN Savings and Loans right now after all that happened since 2019?”
Meanwhile, the Vice President of Groupe Nduom, Nana Ofori Owusu, says the company is ever ready to resume operations once all required procedures are completed.
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