Small businesses, traders, artisans and entrepreneurs across Ghana are expected to gain improved access to financing under a new banking reform announced by the Bank of Ghana (BoG).
The reform will transform Ghana’s rural banking model into a broader community banking system, allowing community banks to operate in both rural and urban areas while expanding access to financial services.
Governor of the Bank of Ghana, Dr. Johnson Asiama, announced the initiative during the celebration of the 50th anniversary of Ghana’s Rural Banking Programme.
Expanding Access to Credit
According to Dr. Asiama, the new model is designed to serve individuals and businesses that continue to struggle to obtain financing despite living close to commercial bank branches.
He explained that while banking infrastructure has expanded over the years, many traders, artisans and small enterprises remain financially excluded.
The community banking model aims to bridge that gap by focusing on local economic needs rather than geographical location.
Community Banks Coming to Urban Areas
The Governor disclosed that community banks could soon be established in urban communities such as East Legon, Cantonments and Airport Hills.
He said the presence of commercial banks in those communities has not necessarily translated into better access to credit for local businesses.
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According to him, the new approach will prioritise lending to entrepreneurs and small businesses that are often overlooked by larger financial institutions.
Rural Banks to Transition
As part of the reform, all existing rural banks will transition into community banks.
The Bank of Ghana has directed the institutions to complete statutory name changes, corporate rebranding and other regulatory requirements by December 2026.
Strong Governance Maintained
Dr. Asiama stressed that the reforms will not weaken regulatory standards or governance requirements.
He urged community banks to maintain prudent lending practices, strong corporate governance and effective risk management while remaining committed to local development.
Building on 50 Years of Growth
The reforms coincide with the 50th anniversary of Ghana’s Rural Banking Programme, which began with the establishment of the country’s first rural bank at Nyakrom in the Central Region in 1976.
According to the Bank of Ghana, the sector has grown to 147 licensed banks, approximately 1,000 branches, more than 8 million customers and an asset base of about GH¢26 billion.
The Governor said the next phase of community banking will focus on preserving the sector’s core values of trust, accountability, participation and community development while expanding financial inclusion across Ghana.
