Finance and tax analyst Nelson Cudjoe Kuagbedzi has described the Court of Appeal’s decision restoring the licence of GN Savings and Loans as a positive development that could strengthen financial inclusion, particularly among rural and informal sector communities.
Speaking on Citi News Digest on Saturday, May 23, Mr. Kuagbedzi said the decision was not surprising, noting that the case had been in the legal system for several years before the recent ruling.
He explained that GN Savings and Loans has historically maintained a strong presence across the country, especially in underserved communities where access to formal banking services remains limited.
According to him, the institution’s branch and agency banking model makes it well-positioned to support efforts to bring more unbanked and underbanked individuals into the formal financial system.
“If you look at the operations of GN Bank and GN Savings and Loans, they are actually located in every nook and cranny of this country. And so the restoration and subsequent operation of the company will go a long way no matter how you look at it, to different financial inclusion within the informal sector,” he said.
Mr. Kuagbedzi noted that GN Savings and Loans’ operational model, which relies heavily on agency banking, gives it an advantage in reaching remote communities.
However, he cautioned that the institution is unlikely to immediately resume full-scale operations following the court ruling. According to him, the Bank of Ghana will require the institution to go through several regulatory processes, including inspections, compliance checks, and approvals before it can resume operations.
Meanwhile, Businessman and Groupe Nduom President, Dr. Papa Kwesi Nduom, has announced that the first branch of GN Savings and Loans to be reopened following the restoration of its operating licence will be located in Elmina.
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