That, he said would also help position them to support the accelerated transformation of the economy.

The Vice President gave the assurance at a ceremony in Accra on Thursday where Express Capital Microfinance was rebranded to Direct Savings and Loans.

The move is intended to enable the company to provide banking services to micro, small and medium enterprises (MSMEs), traders, market women, salaried workers and self-employed.

Dr Bawumia said the non-bank financial institutions, themselves in the private sector, played a crucial role in building a strong and viable financial sector for the development of the national economy and their stability and expansion would remain critical to the financial inclusion agenda.

“The establishment of this financial institution today will deepen the country’s financial sector which is in line with government’s commitment to developing a robust financial services sector needed for economic growth. With a noble vision, to support the growth of other indigenous small and medium size companies, it is the hope of government that Direct Savings and Loans will contribute towards the economic and development programme of Ghana,” he said.

The Vice President said that savings and loans companies accounted for about 45 per cent of total credit of GH¢3.97 billion of the non-banked financial sector institutions.

 “The sector undoubtedly, therefore, contributes immensely to the transformation of the huge portion of the informal sector towards Ghana’s ultimate output that is, our Gross Domestic Product (GDP),” he added.

CEO assures customers

The Chief Executive Officer of Direct Savings and Loans, Mr Ben Adu-Owusu, assured customers of the company’s commitment to remain a relevant financial services partner to MEMEs in the country.

“Ultimately, our core business does not change; of course by upgrading to savings and loans, it gives us more capacity to be able to serve our customers better,” he said. 

Mr Adu-Owusu said the company recognised the role of private sector investment and innovation in the country’s economic development and therefore would be steadfast in its commitment to contribute to national interest.

“Today, the company boasts of a sound corporate governance structure which is the bedrock on which the company stands despite the recent turbulence that hit the micro finance industry,” he added.  

Mr Adu-Owusu reiterated that as a savings and loans company it had more services to render to its customers.

“We are excited for them because of our new image as Direct Savings and Loans. We are going to try and do more for our customers. Over the years, most of our customers have grown and so their needs and capacity has also grown and so by upgrading now, it puts us in a position to be able to provide the type of service they need,” he added.

The Vice President said the public and the government had legitimate and fundamental interest in efficient, sound, liquid and well-functioning non bank financial institutions that were well regulated within a stable macro-economic environment.

He congratulated the Direct Savings and Loans for its innovation urging the company to continue its support for the development of the country.