The Way Forward for GCB Bank Aftermath the Takeover of UT Bank, Capital Bank

GCB MD Raymond Sowah

The UT Bank and Capital Bank are like broken vehicles mid-way  full of passengers and GCB Bank appears to be the moving car, as usually done, the moving car would stop and ask the broken car driver (s) what is wrong.

Normally, since the moving car is usually full, and or do not have the capacity to take the passengers of the broken cars, would usually, go and promise something else. Either send another healthy car from the station to come down to safe the passengers (UniBank and KPMG case).

What am I driving at? The UT Bank and Capital Bank are the broken cars. In this case, they were carrying financial virus if you like. What were theses banks not doing right?

On the surface, it appears a good news to inherit money and other assets from another person or entity.

The GCB Bank has the following to grapple with:


For the mere fact that Bank of Ghana (BoG) asked the GCB Bank to takeover these banks does not exonerate GCB Bank from obeying the numerous financial laws, both national and international. Already, these banks were, if you like disobedient to these rules.

Either they were not meeting some commitments or they were not simply qualified to exist as banks. In that regard, GCB Bank has the task of returning all anomalies to normalcy and try to maintain that position for a long time.


This eventually calls for if you like, different management or strategy.  The normal usual way of managing affairs cannot overcome this heavy tasks. At the time of writing this article, I did not interview any staff or manager of GCB Bank, but I bet that anybody can go and do that interview.

They are sweating under air-condition. What is important I want to stress is that, those who are in charge of corporate governance should be honest and say ‘this one I can’t do it’ .

The management of GCB has the task of policing itself not the usual way. Every effort must be made to communicate the task ahead to every employee of the company.

They should be made aware the problem at hand and cooperate with management to surmount the problem.


Definitely, but not in all cases, GCB Bank needs additional hands to help in this direction. The branches of these banks are dotted across the country. It may not be necessary to maintain old hands especially from  the top level management of the distressed banks (Capital Bank &UTBank).

GCB Bank must be aware that, they are carrying the virus. GCB Bank must be aware of this and determine who to put where and the task to perform. Ordinary routine management cannot help much. The essence of strategic management must be brought to bear.


Just as a police will arrest any driver carrying overload, GCB Bank for a start needs some concessions. Due to the overload, the police must be instructed not to arrest GCB for at least a period. The government (BoG) at the initial stage grants GCB Bank some amount of concessions to cope with the situation. This can only be enjoyed for a period of time.

By Francis Gamli -Dovene, (PhD student) and also Facilitator at the University of Cape Coast



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