Ghana on Wednesday experienced another milestone in its banking industry following the berth of the Construction Bank (Gh) Limited, a specialized financial service provider to the country’s real estate, construction and infrastructure development.
The entry of the Construction Bank (Gh) Limited brings to 34 the number of commercial banks operating in Ghana and the first to be awarded a Universal Banking License in 2017.
The bank is a wholly Ghanaian owned indigenous firm that seeks to provide banking services in Project Finance, Commercial and Consumer Banking with specialization in construction, infrastructure and mortgage financing.
Board Chairman of the bank, Dr. Asare Akufo, commenting on the firm said the examples of successful economies in the world over the past half century indicates that Ghana is in the process of experiencing tremendous growth in commercial and residential real estate, infrastructure, and related industries.
This identified growth, he noted, establishes the need for financial products and services that will help nurture and sustain the above mentioned sectors, hence, the establishment of the Construction Bank to provide such support.
“It is worthy to note that the quality of infrastructure in a country is one of the key indicators for measuring development of that nation and this calls for a concerted and integrated approach to ensuring that we have the right facilities in place that will propel our overall development agenda.”
“Various governments have over the years expressed the desire to close the housing and infrastructure deficit but this cannot be fully attained without partnership among the key players with finance providing the needed backbone. This is the motivation behind our desire to enter a very competitive market at a very exciting time in the history of this country,” he noted.
He noted that in order to meet the growing demands of its clientele, staff of the bank shall continuously undergo professional development and immersion programs to ensure that “we are abreast with the time and offer our clients the best compared to any key market in the world.”
He further promised that the bank shall invest in high end innovations and Technology to secure phenomenal growth.
“Our promise is to build a Bespoke Bank that will capture the needs of discerning clientele across the key markets of this country,” he said.
The bank, according to Dr. Akuffo, shall apart from operating in Accra, open branches in Kumasi, Sekondi, Takoradi and Tamale within a year.
Deputy Governor of the Bank of Ghana, Dr. Millison Narh, on his part said due to constraints in the market as a result of the size of the Ghanaian economy where industry players turn to deal with the same customer base, it therefore behooves on the Construction Bank to think innovatively in order to become the preferred choice on the market place.
“You have to meet the demands of your customers through innovative services. The timely segment of your services will define your vision in this environment,” he noted.
He however, advised the bank to be mindful of the risk in the banking business, cautioning managers of the financial institution to hasten slowly in giving out credit facilities to their clients.
He therefore urged the Board to institutionalize a strong risk culture throughout the bank and also put in place adequate internal measures to safeguard the interest of their potential depositors.
Vice-President of the land, Dr. Mahamudu Bawumia who delivered the keynote address at the unveiling of the bank in Accra, urged the Board of Directors and shareholders of Construction Bank to pick up lessons from the defunct state-owned Bank for Housing and Construction.