Economic experts, banking professionals, and industry stakeholders are urging the government and the Bank of Ghana (BoG) to intensify public education efforts to ensure the successful rollout of non-interest banking in the country.
According to them, low awareness and widespread misconceptions particularly during the early stages of implementation pose a significant risk to the growth and acceptance of the model.
They pointed to experiences in countries such as Nigeria, Malaysia, and Indonesia, where similar challenges initially hindered adoption.
The renewed calls come at a time when non-interest banking is gaining traction in Ghana. One indigenous bank has already applied for a licence, while four others are preparing to follow suit, signaling growing institutional interest in the model.
Dr Daniel Anim-Prempeh, Chief Economist at the Public Initiative for Economic Development (PIED), stressed the importance of coordinated action led by regulators and government agencies to deepen understanding among businesses.
“The Central Bank must intensify education through business associations and chambers to help stakeholders fully grasp the model,” he said in an interview.
He explained that sustained education campaigns would help borrowers understand that financing under non-interest banking is intended strictly for business expansion and capital investment not personal consumption.
Dr Anim-Prempeh added that the long-term sustainability of the system depends heavily on borrower discipline, particularly their ability to repay funds so they can be reinvested to support other enterprises.
“Without that discipline, the transformative potential of the model could be undermined before it takes root,” he cautioned.
Similarly, Dr Issahaku Yakubu, Manager for Business and Commercial Banking at Stanbic Bank Ghana, identified public perception and consumer behaviour as major barriers to adoption.
He noted that limited knowledge, coupled with misconceptions especially around the religious aspects of non-interest banking continue to hinder acceptance. Some Ghanaians, he said, wrongly associate the model solely with the promotion of Islam due to its linkage with Sharia-compliant finance.
Dr Yakubu dismissed such concerns, citing international examples where non-interest banking has been implemented without influencing religious conversion.
“In European countries where the system has been introduced, there has not been a single documented case of religious conversion resulting from its adoption,” he explained.
He acknowledged, however, that given Ghana’s predominantly Christian population, religious sensitivities must be carefully managed through consistent and targeted education.
To address these challenges, Dr Yakubu called for structured nationwide consumer education campaigns, including roadshows, to highlight the economic value and commercial benefits of non-interest banking.
The Ghana Association of Banks has also identified public awareness as a critical factor in the successful implementation of non-interest banking.
The Association is advocating a collaborative approach involving government, financial institutions, and Islamic scholars to address misconceptions and promote understanding.
It further recommended leveraging multiple communication channels including traditional and digital media to reach a wider audience, particularly in areas where misinformation remains prevalent.
Experts believe that with the right education strategy, non-interest banking could expand financial inclusion, provide alternative financing options for businesses, and strengthen Ghana’s financial sector.
However, they insist that without deliberate efforts to demystify the concept, its full potential may remain unrealised.
