Ghana-based Groupe Nduom said it and its local unit, GN Savings and Loans Ltd., did not receive any official communication from the country's central bank over revoking the unit's license due to insolvency, Ghana Business News reported, citing a statement from the group which was signed by Chairman and CEO Papa "Paa" Nduom.
The statement came in response to the Bank of Ghana saying it had revoked the licenses of 23 insolvent savings and loans companies and finance house companies — including GN Savings and Loans Ltd. — in an effort to restore confidence in the country's banking and specialized deposit-taking sectors. It also said the firms have no reasonable prospects of recovery and that their continued existence poses severe risks to the financial system's stability and to the depositors' interests.
According to the statement seen by the newswire, GN Savings and Loans is "not only solvent, but would be highly liquid" if the government pays back the money it owes the company.
Meanwhile, GN Savings expects to resolve the issue with the central bank in due course and asked customers to remain calm, the report noted.
In separate news, GN Liberia Ltd. said the revocation of GN Savings' license will not affect its operations in Liberia, The News reported.
