Former Chairman of Parliament’s Finance Committee, Dr. Mark Assibey Yeboah, has dismissed former President John Dramani Mahama’s promise to revive collapsed banks as unrealistic and burdensome.
Mahama, the 2024 flagbearer of the National Democratic Congress (NDC), recently reiterated his commitment to restoring the financial institutions that were shut down during the banking sector reforms.
According to him, this would help stabilize the financial sector and restore public confidence. Mahama also linked the revival of these banks to addressing Ghana’s rising unemployment rate and urged Ghanaians to support him in the 2024 elections to help rejuvenate the economy.
However, Dr. Assibey Yeboah criticized this promise as a “joke” during an interview on Asempa FM’s Ekosii Sen on Wednesday, September 25, questioning the feasibility of Mahama’s plan, given the issues that led to the financial sector clean-up.
According to Dr. Yeboah, the banking sector reforms were essential for stabilizing a system plagued by insolvency, mismanagement, and regulatory breaches. He argued that Mahama’s pledge was politically motivated, accusing the former president of attempting to undermine a necessary intervention that safeguarded depositors and restored confidence in the financial sector.
“That is a joke. How are they going to do it? Let’s assume, in the unlikely event, he wins the forthcoming election and is sworn in on January 7, what will happen? On January 8, will he call Unibank and tell them to come for their license? Where is the bank? The bank is gone. So, would they be holding the license and walking around?” Dr. Yeboah asked, emphasizing the impracticality of Mahama’s proposal.
Dr. Yeboah also pointed out that many of the closed banks were shut down due to severe regulatory violations, including capital inadequacies and fraudulent practices. Reinstating such institutions, he argued, would undermine the progress made in financial stability and set a dangerous precedent for the sector’s future management.
He further criticized Mahama’s leadership on financial matters during his presidency, stating that his administration failed to address the sector’s weaknesses, which ultimately led to the crisis that necessitated the reforms.
Dr. Assibey Yeboah insisted that Mahama’s promise was a populist move aimed at gaining votes rather than a practical solution. He urged Ghanaians to consider the long-term consequences of reversing the banking reforms, stressing that the clean-up was crucial for ensuring the financial sector’s future stability.