Founder and Chief Executive Officer of Groupe Ndoum, Dr. Paa Kwesi Nduom, is demanding that the government settle a debt of GH¢7.1 billion owed to his defunct GN Bank.
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GN Bank became insolvent following the banking sector clean-up and reforms conducted by the Bank of Ghana in 2017, which uncovered several breaches.
Addressing journalists at a press briefing, Dr. Nduom called for a structured repayment plan on loans used to prefinance government projects.
This, he believes, will help restore his financial institution and repay depositors and creditors whose funds have been locked up.
Dr. Nduom also appealed to the government to restore GN Bank’s banking license, emphasizing its previous success as a financial institution.
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“We Groupe Ndoum understand the importance of infrastructure development in this country. We decided that the country needs it the most, and if nobody’s credit is good, that should not include the government because its credit must be good,” he said.
He highlighted that Groupe Ndoum financed several key projects, including cocoa roads and schools, expecting government loans to be low risk with prompt repayment.
“We financed cocoa roads, which used to be the safest activity you could engage in. We invested in schools and other key projects across the country, and it’s funds from our companies that prefinanced these projects.
The government owes us a debt of GH¢7.1 billion, and if they had paid that amount to contractors about six years ago, there wouldn’t be a Gold Coast/Black Shield, GN Bank problem.
We are demanding that the government pays us the monies owed,” Dr. Nduom stated.
GN Bank was closed by the Central Bank as part of the banking sector clean-up, citing insolvency and poor governance issues.
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