Looking at what has transpired in the global financial system, there is no doubt that the banking sector is crucial to the economy; hence instability within the industry would have negative consequences on the economy. This is the basis for safeguarding the sector to ensure equitable, fair and strong business practices, giving no room for complacency.
Poor performance or non-compliance with regulations by individual banks can introduce systemic risks and jeopardize the entire banking sector. 21. Mr. Chairman, The Ghanaian banking system has undergone significant transformation and continues to improve with new regulations and guidelines seeking to maintain stability. This has made the sector more efficient, innovative, competitive and profitable.