The Ghana Cooperative Susu Collectors Association (GCSCA), an umbrella organization of regional cooperatives of susu collectors in Ghana, has announced that 300 of its susu collector members have submitted applications under the new rules and requirements for microfinance licensing under the Bank of Ghana (BOG) [1, 2]. Traditional susu collectors serve predominantly low-income earners with access to savings and credit services.
Contrary to the case with microfinance companies, there is no minimum capital requirement for susu operators, however, “each registered member of an umbrella Association shall contribute to an Insurance Fund to be set up by the Association” [4]. Activities of susu collectors fall under the fourth tier of the BOG guidelines which state that susu collectors “shall carry out their activities within a defined geographical area such as a town, city, a market or a suburb and shall not operate branches, except with the prior written approval of the Bank of Ghana” [1,3]. Most applicants come from the Greater Accra and Ashanti regions [1].
By Amy Samudre, Research Associate
About Ghana Cooperative Susu Collectors Association (GCSCA): Ghana Co-operative Susu Collectors Association (GCSCA) was established in 1994 to organize susu collectors, which are an umbrella organization of 10 regional susu collectors co-operative societies in Ghana including Greater Accra, Western, Central, Eastern, Ashanti, Volta, Northern, Upper East, Upper West and Brong Ahafo Regions. The membership of GCSCA currently stands at 1,462 individuals and corporate members.
About Bank of Ghana (BOG): The Bank of Ghana has regulatory and supervisory authority in Ghana over banking and financial institutions, including rural and community banks, savings and loan companies, credit unions and cooperatives. The Bank of Ghana conducts annual on-site audits of these institutions, however nonprofit organizations in Ghana are not regulated by any government agency.
Sources and Additional Resources:
[1] joyonline.com, “300 Susu Collectors Submit to Regulated microfinance Regime.”? http://business.myjoyonline.com/pages/news/201206/88782.php
[2] GCSC, “Ghana Co-operative Susu Collectors,”? http://ghanasusu.com/
[3] Bank of Ghana, “Notice to Banks, Non-bank Financial institutions and the General Public: Operating Rules and Guidelines for Microfinance Institutions,” http://www.bog.gov.gh/privatecontent/Banking_Supervision/Operating%20Rules%20and%20Guidelines%20for%20Microfinance%20Institutions.pdf
[4] Business.thinkghana.com, “Bank of Ghana out with new licensing regime,”? http://business.thinkghana.com/pages/finance/201107/55005.php
MicroCapital.org Story, March 21, 2012,“MICROCAPITAL BRIEF: Bank of Ghana Pursues Tighter Regulation, Enforcement of Microfinance,” Sector,” https://www.microcapital.org/microcapital-brief-bank-of-ghana-bog-pursues-tighter-regulation-enforcement-of-microfinance-sector/#more-17895
MicroCapital.org Story, March 12, 2012, “MICROCAPITAL BRIEF: Bank of Ghana (BOG) Receives 300 Microfinance License Applications,”? https://www.microcapital.org/microcapital-brief-bank-of-ghana-bog-receive…
MicroCapital.org Story, September 15, 2011, “MICROCAPITAL BRIEF: Bank of Ghana Issues New Licensing Regime to Regulate Microfinance Industry,” https://www.microcapital.org/microcapital-brief-bank-of-ghana-issues-new-…
MicroCapital Universe Profile: Ghana Cooperative Susu Collectors Association (GCSCA) https://www.microcapital.org/microfinanceuniverse/tiki-index.php?page=Ghana%20Co-operative%20Susu%20Collectors%20Association%20%28GCSCA%29
MicroCapital Universe Profile: Bank of Ghana? https://www.microcapital.org/microfinanceuniverse/tikiindex.php?page=Bank+of+Ghana+%28BOG%29
Browse the MicroCapital Universe and add your entry to the wiki at https://www.microcapital.org/microfinanceuniverse/
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