According to him, the Central bank’s move of a clean-up exercise of the financial sector, which saw the revocation of licences of 420 banks, microfinance institutions and other finance houses was bad.
“About 20,000 people have lost jobs directly due to the 420 financial institutions that have been shut down,” Mahama said.
“The crisis has created major problems in the banking sector and financial sector including deepening the already widely-held mistrust and lack of confidence in the system by Ghanaians.
He stressed that “The development in the banking and finance system and the matters arising call for grave concern on all who have been affected by this financial sector turmoil, especially because it is an issue that threatens the country’s security.
“Was the revocation the best option at this circumstance or there was no option? Our central bank chose the chaotic situation with accompanying huge debt where the government has no clue on how to clear it.
“Revocation of licences would have been the last resort and not the first resort. No country is immune to crisis in the financial sector.”