Rural and Community Banks (RCBs) nationwide are demanding urgent government intervention to release their locked-up funds at Gold Coast Investment Company. The banks warn that continued financial strain is crippling their operations and threatening economic stability in rural communities.
The General Secretary of the Industrial and Commercial Workers’ Union (ICU), Morgan Ayawine, who spoke on behalf of the RCBs at Tamale ahead of the Union’s National Quadrennial Delegates Conference, says these frozen investments will have dire consequences if urgent action is not taken.
“The locked-up funds of the rural and community banks at Gold Coast Investment Company is a great concern as it is equally affecting the banks’ operations. We appeal to government to facilitate the release of the locked-up funds to help the rural and community banks prosecute their businesses and remain relevant in the banking sector of the economy,” Morgan Ayawine indicated.
RCBs play a crucial role in Ghana’s financial ecosystem by providing banking services to underserved communities, supporting small businesses, and driving rural economic development.
However, the liquidity crunch caused by their trapped investments is threatening their operational stability, making it difficult for them to lend to businesses, pay staff, and meet regulatory obligations.
Many of these banks depend on their investments to maintain liquidity and provide affordable credit to farmers, traders, and small enterprises, which are the backbone of Ghana’s informal economy.
The continued delay, they argue, risks crippling a sector that serves as a lifeline for many rural communities.As calls for intervention grow louder, depositors and banking associations remain hopeful that the government will prioritize this issue to prevent further financial distress.
