The Bank of Ghana (BoG) has directed that new Microfinance Banks (MFBs) must hold a minimum capital of GH¢100 million to operate in the sector.

The Central Bank said the move is aimed at strengthening financial stability and noted that MFBs are licensed deposit-taking institutions serving Micro, Small, and Medium Enterprises (MSMEs) as well as individual clients.

Under the new regulations, existing Savings and Loans Companies, Finance Houses, and Micro-Credit Companies are required to meet the capital threshold by December 31, 2026. Institutions transitioning to the MFB category will be subject to a transitional minimum capital requirement of GH¢50 million.

BoG outlined several compliance options for affected institutions, including:


  • Stand-alone relicensing for entities that meet the threshold independently,


  • Consolidation through mergers and acquisitions,


  • Asset and liability transfers to qualified entities, or


  • Voluntary exit from the market.

The Bank warned that institutions failing to adopt one of these options within the stipulated timeframe would face regulatory action.

The guidelines also introduce shareholding limits to enhance corporate governance, capping individual ownership at 40 per cent, family or related-party stakes at 50 per cent, and allowing corporate bodies to hold up to 100 per cent.

BoG said the measures are expected to improve monetary policy transmission and expand access to formal financial services across the country, supporting a more resilient and inclusive financial sector.