Deputy Finance Minister Thomas Ampem Nyarko declared that governance is fundamentally about accountability, responsibility, and transparency. He explained that Ghana's past economic struggles, including high inflation and a volatile currency, were rooted in weak internal controls and poor risk management. These issues, he stated, existed at leadership levels before 2025. Billions of Ghana cedis in public funds were lost. This also led to workers losing their livelihoods and eroded public trust. Mr. Ampem Nyarko warned that institutions do not collapse suddenly. They weaken gradually, especially when governance falters.
Mr. Ampem Nyarko, who also serves as the NDC Member of Parliament for Asuogyaman, made these remarks at the 45th Annual General Meeting of the Hydro Co-operative Credit Union Limited (HCCUL) in Akosombo last Saturday. The meeting's theme was Strengthening governance and accountability for members confidence. The HCCUL, founded in March 1971 by Volta River Authority (VRA) staff, aims for members' financial freedom. It now serves over 11,300 members from VRA, GRIDCO, Bui Power Authority, and other institutions. This includes government agencies, private businesses, churches, and small and medium-scale enterprises.
The Deputy Minister highlighted the credit union movement as a vital part of inclusive finance in Ghana. Recent data from the Ghana Co-operative Credit Unions Associations shows over 700 credit unions nationwide. These unions have more than one million members. Their total assets exceed GHS 3 billion. This reach is significant in underserved areas. It includes teachers, nurses, public servants, traders, and other workers. The MP stressed the need for deliberate, structured, and uncompromising governance in credit unions like HCCUL. Board effectiveness is crucial for this. Board members must be competent and independent. They must be accountable for their decisions. A clear separation between oversight and management is advised.
Financial discipline is also critical, Mr. Ampem Nyarko added. This requires accurate and timely financial reports. Robust internal audit systems are essential. There must be zero tolerance for misusing funds. Financial integrity cannot be compromised. Sound risk management must also underpin strong governance. This involves prudent lending practices. Continuously monitoring portfolios is key. Avoiding excessive exposure to concentrated risks prevents instability. Mr. Ampem Nyarko called for transparent communication. He also advocated for inclusive decision-making processes. Respect for the rights and interests of every member is paramount.
Desmond Kuranchie Mensah, a representative from the Credit Union Associations (CUA), praised HCCUL's management. He noted their strong performance in capital adequacy, liquidity, and profitability. These achievements, he stated, stem from stronger governance and accountability. The lessons from the past, he implied, emphasize the need for diligent oversight and ethical conduct in all financial institutions. These principles are vital for stability and sustainable growth.