Speaking at the 8th Annual General Meeting and Symposium of the Ghana Association of Financial NGOs, the Association’s National Chairman, Spencer Badu, said the central bank’s strict standards often weigh heavily on smaller institutions.

“We are not saying it should be reviewed because the GHS 300,000, which we have held for years, is okay. But in terms of regulating the entities, if the central bank itself is regulating the entities, then the standards are very high. But in terms of capacities of these institutions, their capacities are low, so we are asking for a tier where the central bank has an oversight and partners with the association to do the monitoring of their activities,” he explained.

Spencer Badu also called on government to prioritize the passage of a national microfinance policy, which he said is long overdue and critical for giving direction to the industry.

“The policy was almost ready a few years back but it didn’t get passed. It was worked on and it is still in the stages of discussion. Let’s hope this government in the next four years will be able to prioritize that policy and get it in place, because the policy should have come before regulation but in our case there was regulation before policy,” he added.

The Association believes that adopting the policy and a tiered oversight structure could help address long-standing challenges, enhance sustainability, and expand financial inclusion across rural communities.

Delivering the keynote address at the 8th Annual General Meeting and Symposium of the Ghana Association of Financial NGOs (GHASSFIN), Rural and Microfinance Consultant, Dr. David Andah, warned that without deliberate innovation and policy support, FNGOs risk being overwhelmed by the rising costs of serving vulnerable communities.

“We are being asked , are you financing resilience or your financing vulnerabilities. What were the effects of climate change on your balance sheets,” said.

The AGM, held under the theme “The Future of FNGOs: Driving Development in the Face of Policy Changes, Regulatory Demands, and Climate Change,” brought together policymakers, regulators, and financial NGO leaders to deliberate on how to secure the sector’s place in Ghana’s development finance architecture.