• About Us
  • Contact Us
  • Photo Gallery
  • Privacy Policy
  • Terms of Use
  • Citi TV
Thursday, February 25, 2021
Citinewsroom - Comprehensive News in Ghana
  • Home
  • News
  • Business
  • Sports
  • Showbiz
  • Coronavirus
  • Infographics
  • Livestream
  • Election 2020
No Result
View All Result
Citinewsroom - Comprehensive News in Ghana
  • Home
  • News
  • Business
  • Sports
  • Showbiz
  • Coronavirus
  • Infographics
  • Livestream
  • Election 2020
No Result
View All Result
Citinewsroom - Comprehensive News in Ghana
No Result
View All Result

Don’t support ‘distressed’ banks with our pensions – Angel Carbonu 

Godwin Akweiteh AlloteybyGodwin Akweiteh Allotey
January 12, 2019
Reading Time: 2min read
President of NAGRAT

President of NAGRAT

ShareShareShareShare

The President of the National Association of Graduate Teachers (NAGRAT), wants the government to abort plans of using GHc2 billion from private pension funds to support distressed banks.

Angel Carbonu says the government has no right to take such an arbitrary decision.

“Why should there even be a directive directing pension money to be sent to GAT when the government does not have that authority to do that in the first place. This is because the money does not belong to government. This is a non-starter, and we are calling on government to withdraw this approach,” he said on Citi TV/ Citi FM’s news analysis programme, The Big Issue on Saturday.


The Governor of the Bank of Ghana, Dr. Ernest Addison, announced on January 4, 2019, that government is to form Ghana Amalgamated Trust made up of some private pension funds in the country to support to some five banks who were solvent, but were unable to raise GHc400 million for the recapitalization drive.

The five banks include ADB, NIB, merged Omni/Bank Sahel Sahara, Universal Merchant bank, and Prudential bank.

Details of the Ghana Amalgamated Trust are currently scanty as the government is yet to give adequate information on the way forward.

The Finance Ministry in an earlier statement warned the beneficiary banks not to consider the support as a bailout because it is “to support solvent and strong indigenous banks to meet the new minimum capital requirement, and is not a bailout programme.”


Carbonu argued that government should have pitched the idea to the private pension managers instead of imposing the deal on them.

“Government does not determine where monies are supposed to be sent to. The schemes are regulated by the NPRA. So if government forms an organization called Ghana Amalgamated Trust as a special purpose vehicle of getting resources to distressed banks and government feels that this business is a viable business proposal, all it has to do is to make a presentation to any of these schemes.”

“When the schemes study the presentation and realize that it is a viable platform for investment, the schemes will decide whether or not to send money there. Why should there even be a directive directing pension money to be sent to GAT when the government does not have that authority to do that in the first place. This is because the money does not belong to the government.”

He said the government should immediately make known who the managers of the GAT would be.

“In any case, when was GAT established, what is their track record, who are the people managing GAT, what is the percentage are you giving the workers when they send their monies there? Now the banks that we are talking about, how strong are they, how economically viable are those institutions? This is a non-starter and we are calling on the government to withdraw this approach,” Carbonu added.


TUC to meet over GAT

Meanwhile, the Trades Union Congress will meet on Monday to take a decision on the government’s decision.

–

By: Godwin Akweiteh Allotey | citinewsroom.com | Ghana

ShareTweetSendSend
Previous Post

Gina Asante writes: Life gemstones for millennials

Next Post

Interim report on Obengfo’s ‘murder’ case released to police

Related Posts

Ernesto Yeboah
News

Drop charges against Ernesto Yeboah – BLM to government

February 25, 2021
Omane Boamah
Top Stories

COVID-19: Pursue Pfizer vaccines; they’re more ‘efficacious’ – Omane Boamah to government

February 25, 2021
Health

Sweating while working out is not fat-burning – Vodafone Healthline

February 25, 2021
News

Mustapha Ussif, Awal and Freda Prempeh to be vetted today

February 25, 2021
Slider

Akufo-Addo to receive first COVID-19 jab

February 25, 2021
Health

Deployment of COVID-19 vaccines to begin next week – Nsiah-Asare

February 25, 2021
Next Post
Dr Dominic Obeng-Andoh

Interim report on Obengfo’s 'murder' case released to police

TOP STORIES

We’ll make Ghana hub of film production in West Africa – Awal Mohammed

February 25, 2021

Drop charges against Ernesto Yeboah – BLM to government

February 25, 2021

Awal Mohammed promises to revive National Festival of Arts and Culture

February 25, 2021
Load More
ADVERTISEMENT
Citinewsroom – Comprehensive News in Ghana

CitiNewsroom.com is Ghana's leading news website that delivers high quality innovative, alternative news that challenges the status quo.

Archives

Download App

Download

Download

  • About Us
  • Contact Us
  • Photo Gallery
  • Privacy Policy
  • Terms of Use
  • Citi TV

© 2020 All Rights Reserved Citi Newsroom.

No Result
View All Result
  • Home
  • News
  • Business
  • Sports
  • Showbiz
  • Coronavirus
  • Infographics
  • Livestream
  • Election 2020

© 2020 All Rights Reserved Citi Newsroom.

Are you sure want to unlock this post?
Unlock left : 0
Are you sure want to cancel subscription?