Global Chairman of Groupe Nduom and former owner of Gold Coast Fund Management Company, Dr. Paa Kwesi Nduom, is demanding that the government settle a debt of GHS 7.1 billion owed to his bank and other subsidiaries. This demand follows the Bank of Ghana’s financial sector reforms in 2017.
The clean-up exercise, which resulted in the Securities and Exchange Commission (SEC) revoking the licenses of 53 fund management companies, including Gold Coast Fund Management, led to the freezing of depositors’ funds. The reforms were aimed at restoring stability and confidence in Ghana’s financial sector, which had been plagued by insolvency and poor governance issues.
Speaking during a recent media briefing, Dr. Nduom argued that his companies would not have collapsed if the government had paid contractors who were owed years ago. He emphasized that a structured repayment plan from the government could revive GN Bank’s financial health, allowing it to repay its creditors and depositors.
“A debt that used to be GH¢1.8 billion is now more than GH¢7.1 billion. It is growing every day with interest. So the government of Ghana and its agencies, if they had paid us even one-third of that money to the contractors six years ago, there wouldn’t be a Gold Coast or Black Shield problem. There wouldn’t be a GN Bank problem, there wouldn’t be a problem with any of our companies. So today, what we are saying is, let them pay the money.”
Dr. Nduom further stated, “If the government doesn’t have the money, let us come up with a payment plan. They pay us, the customers get paid.”
