BoG promises non-interest banking framework by end of 2025

The Bank of Ghana says all things being equal, an operational framework for the introduction of a non-interest banking and finance system in Ghana will be ready by 2025, as it has begun a broader consultation.

A team of experts from the Bank of Ghana, under the leadership of Professor John Gatsi, Advisor to the Bank of Ghana, has started with its jurisdictional exploratory and learning engagement, as they have already visited Nigeria, where the NIBF system is vibrantly operating.

As part of the stakeholders’ engagement, the central bank, in collaboration with the Ghana Journalist Association, organised a two-day workshop for selected journalists in Koforidua over the weekend to highlight and deepen the knowledge gap understanding needed to guide their reportage.

“Per our roadmap for the broader consultation of stakeholders and inter-agency collaboration, we anticipate making ready a framework for the operationalisation of Non-interest banking and finance in Ghana before the end of 2025”, Prof Gatsi disclosed to the participants.

Meanwhile, the Governor of the Bank of Ghana, Dr Johnson Asiama, in his opening remarks, read on his behalf by Mr Ismail Adam, Head of Banking Supervision, said, “Non-interest finance remains a largely untapped banking and financial opportunity in Ghana.

“In light of the structural constraints facing our economy—ranging from high graduate unemployment, sluggish GDP growth, significant infrastructure gaps, and limited fiscal space—NIBF presents a valuable opportunity to diversify both our financial system and sources of funding.

“What began as a niche complement to conventional finance in the 1970s has evolved into a significant pillar of the global financial system. As of 2024, the NIBF industry surpassed a major milestone, with global assets exceeding USD 5 trillion—representing a 12% increase over 2023 and a 43% growth since 2020”, he noted while listing the numerous benefits of NIBF to economies.