BoG announces 1,100% increment in minimum paid-up capital for Credit Bureaus

In a sweeping move, the Bank of Ghana (BoG) has enacted a remarkable 1,100 percent surge in the minimum paid-up capital for both existing and new Credit Bureaus, elevating the threshold from ₵500,000 to ₵6,000,000.

This substantial adjustment, effective as of November 20, 2023, aligns with section 18 (3) of the Credit Reporting Act, 2007 (Act 726).

Existing credit bureaus have been granted a window until the conclusion of January 2025 to adhere to the revised minimum paid-up capital, with a perpetual obligation to sustain an unimpaired minimum capital of ₵6,000,000 thereafter.

The central bank, however, strongly advocates for early recapitalization among existing entities.

Existing credit bureaus have up to the end of January 2025 to meet the new minimum paid up capital and shall always maintain an unimpaired minimum capital of GHS6,000,000 going forward”, the statement said.

Simultaneously, the directive mandates all new and pending applications for credit bureau licenses to meet the heightened minimum capital requirement of ₵6,000,000.

These funds are expected to be judiciously invested in assets delineated by the Bank of Ghana.

All new and pending applications for credit bureau licence are required to meet the new minimum capital requirement of GHS6, 000,000.00 appropriately invested in assets determined by the Bank of Ghana”, it added.

Non-compliance with the augmented capital prerequisite is explicitly cautioned against, with the Bank of Ghana affirming its commitment to enforcing regulatory measures in accordance with section 11(1)(e) of the Credit Reporting Act, 2007 (Act 726).

BoGCredit Bureausminimum capital requirements
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