Stop paying dividends to shareholders – BoG directs banks

The Bank of Ghana (BoG) has directed banks and Specialised Deposit-Taking Institutions (SDIs) in the country to cease declaring or paying dividends to shareholders until further notice.

The Central Bank says this is to ensure that banks and SDIs are better able to support their customers throughout the COVID-19 pandemic and to absorb any potential operational losses for banks and SDIs from the COVID-19 pandemic.

A statement signed by the BoG’s secretary, Sandra Thompson said: “In furtherance of the above, and to ensure that banks and SDIs are better able to support their customers throughout the COVID-19 pandemic, to absorb any potential operational losses for banks and SDIs from the COVID-19 pandemic, the Bank of Ghana now directs that all banks and SDIs desist from declaring and/or paying any dividends or distributing reserves to shareholders, and from making any irrevocable commitments regarding the declaration or payment of dividends to shareholders, until further notice."

Meanwhile, the BoG has assured banks and SDIs that it would continue to monitor the impact of the coronavirus on the financial sector.

Read the entire statement below;

BoG Notice Suspension of Di... by Kweku Zurek on Scribd