Members of the Locked-up Investment Holders Forum (LIHF) in Ghana staged a protest on Wednesday, urging the Bank of Ghana (BoG) to address their concerns about inaccessible investments. The demonstration reflects the ongoing struggles of Ghanaians who have lost access to funds due to financial institution failures.
Rally Highlights Investor Frustration
The LIHF protest initially aimed to reach the Bank of Ghana headquarters but ultimately concluded near the Kwame Nkrumah Mausoleum due to security restrictions and harsh weather conditions. Dr. Adu Anane Antwi, the convener of the group, addressed the press, explaining their decision to relocate the protest and emphasizing their peaceful intentions.
Dr. Antwi shed light on the LIHF’s proposals for resolving the issue of locked-up investments. The group presented two options to the Bank of Ghana. One approach involves providing financial support to distressed institutions, allowing them to cover a portion of locked-up funds. The remaining amount could then be converted into bonds or equity within those organizations.
Seeking Repayment or Restructuring
The LIHF’s alternative proposal recommends revoking the licenses of insolvent financial institutions. In this scenario, the Bank of Ghana would assume control of depositor funds and reimburse investors, similar to actions taken during the 2017/2018 financial sector cleanup.
The LIHF doesn’t intend to stop the protest. A delegation of ten members is scheduled to meet with Ghana’s Finance Minister to reiterate the contents of a petition submitted in November 2023. This meeting represents an attempt to secure a direct response from the government and explore potential solutions.
Ghana’s Financial Sector Challenges
Ghana’s financial sector has faced significant challenges in recent years. Several financial institutions collapsed, leaving many Ghanaians with locked-up investments. The LIHF protest highlights the human cost of these failures and the urgent need for solutions that restore access to funds and rebuild trust in the financial system.
The LIHF’s proposals and their pursuit of dialogue with the Bank of Ghana and the Finance Ministry demonstrate a proactive approach to resolving the issue of locked-up investments. While challenges remain, these efforts offer a glimmer of hope for Ghanaian investors seeking a way forward and a more stable financial future.
Source: Graphic Online
