The Bank of Ghana (BoG) has doubled up on its open market operations (OMO) over the last 10 months, in an attempt to mop up extra liquidity and drive down inflationary pressures. From GH¢4.8 billion in October, last year, bills and notes issued by the central bank for treasury operation purposes rose to GH¢93.3 billion … Read more
Over the past six years, banks have increased their appetite for funds from overnight lending and placements which they source under repurchase agreements (REPOS) as an alternative but less costly way to manage their cash reserve ratios (CRRs). Between 2010 and September this year, the face value of transactions executed under REPOS rose by 366.1 … Read more
A new trend is emerging in the financial market, where an increasing number of borrowers and lenders prefer to use their holdings equities and debt securities such as shares, bonds and treasury bills as collateral for loans from the banks. Known as pledging, the resort to securities as collateral for credit has caught on well … Read more