also restrict dividend payments to no more than 50 percent of distributable profits in the year and this policy shall apply until the waivers are withdrawn. although there was no immediate requirements for existing banks to achieve the new capital level of gh¢120 million, we encourage banks not meeting this capital level to put in place plans to achieve this capital level. the need for ongoing capital build - up cannot be overemphasized. mr. chairman, regarding the legal and regulatory framework, you may recall that the central bank has kick - started a process to revise the banking act to better govern the conduct of banking business in ghana. the bank recently submitted a final draft of the banks and specialized deposit - taking institutions bill and the deposit protection bill together with the accompanying memoranda to the minister of finance. we hope that these bills would be approved by cabinet shortly and proceed to the lawmakers. the bills benefited from comments from stakeholders such as banks, non - bank financial institutions, the institute of chartered accountants, and the ministry of finance. the new bills address a number of regulatory imperatives, including provisions on consolidated supervision, dealing with cross - border and cross - sector collaboration in banking, and outlining a clear framework for dealing with distressed banks. they also seek to strengthen the central bank ’ s powers in licensing, dealing with illegal banking and providing a transparent procedure for regulatory issuances and handling of disagreements with the bank ’ s decisions. it is my hope that the chartered institute of bankers, as a body of banking professionals, will take active interest in the process and make relevant inputs so as to give us a solid legal and regulatory framework for banking in ghana. the bank of ghana is also considering implementing basel ii / iii accords. to this end, the bank will begin consulting the banking industry on the transition in 2015. this will be in addition to a review of the implementation of ifrs, so as to ensure that we do not unduly dilute the bank ’ s prudential framework. in this regard, the bank has secured the assistance of a long - term advisor to help the banking supervision department strengthen its supervisory processes. the bank of ghana will continue to dialogue with both domestic and external stakeholders in these efforts to develop a well - functioning banking system to support the growth and development objectives of the country. mr. chairman, the issue of request for waivers of the single obligor limit has persisted largely because no bank has the capacity to single

- handedly finance most oil - related transactions. in the absence of a workable syndication system in the industry, the central bank has often had to flout its own rules in risk management. this practice cannot continue. the new banking bill has eliminated the clause that allows the central bank to grant these waivers. banks that want to undertake transactions that cannot be supported by their balance sheets must either seek syndication partners or begin to look for commensurate capital to support such transactions. bis central bankers ’ speeches allow me now, mr. chairman, to turn to a sector that has been the backbone of ghana ’ s economy for years but receives minimal bank credit – i. e. the agriculture sector. mr. chairman, i am happy to say that the banks, together with the bank of ghana, have agreed to set up an equity fund dedicated to developing this sector – particularly the rice, maize and poultry sub - sectors. we look forward to the equity fund becoming operational in 2015. conclusion in conclusion, mr. chairman, the relatively unfriendly macroeconomic conditions that existed in the first half of the year is seeing a turnaround. on the real sector, even though energy sector challenges adversely impacted economic activity, the latest business and consumer surveys point to improvements in both business and consumer sentiments. the banking industry has been resilient and profitable in the year, albeit amidst pockets of vulnerabilities. to address these vulnerabilities, the bank of ghana will continue to create the enabling business and regulatory environment for the industry to flourish to support economic growth and job creation. in support of this process, mr. chairman, the bank of ghana will roll out the policies and initiatives outlined earlier, and others not mentioned here as we deem necessary. we count on your usual cooperation in getting the desired outcomes from these policies and initiatives. the bog will also continue to regularly engage with you to share ideas on emerging trends, including on the regulatory landscape. ghana, as a member of international bodies such as the imf, is committed to developing its financial sector in line with international standards. to this effect, the bog will continue to require banks in ghana to adopt international best practice in their operations and stop seeking regulatory forbearance at the earliest sign of distress. i thank you all for listening. enjoy your meal and i wish you a merry christmas and a prosperous new year in advance. bis central bankers ’ speeches