EVEN AFTER major reforms have taken place in the banking industry, majority of Ghanaians still do not have access to banking services. According to Bank of Ghana figures, 80 percent of Ghanaians are un-banked as just over a million people hold bank accounts including Rural Banks.

These remarks were made by the Deputy Governor of Bank of Ghana, Dr. Mahamudu Bawumia during the launch of four new products by the Amalgamated Bank Limited on Friday in Accra.

High cost associated with maintaining bank accounts, inadequate infrastructure, high minimum income requirement to open account and inadequate security protection against fraudulent transactions especially with debit and credit cards.

The last two to three has seen the opening of more branches of various banks due to increase in real incomes and the need for more competition for deposits with the emergence of more banks in the industry.

Between 2002 and 2004, bank branches increased from 309 to 344 representing a rise of 11.3%. This increased by 81 branches between 2004 and 2006 representing 23.5 per cent increase.

Dr. Bawumia further said credit to the private sector over twelve month's period to march 2007, increased by ¢9,450 billion (GH¢940 million) representing 50.4% increase over 2006 figure.

On interest rate, the Deputy Governor said they have come down from a high of about 50% to between 18% and 26%. He gave credit to government's policy to stabilize the macro-economic indicators.

"You ain't seen nothing yet," was the way the Deputy Governor described the banking system especially where more reforms are in the pipeline.

To enhance credit risk management, the credit reporting act has been enacted. Foreign exchange act has also been passed. Other bills coming include borrowers and lending bill and non-bank financial intermediaries bill.

Also coming is the national switch to allow the establishment of a common platform for all payments transaction in the country. The Bank of Ghana is in addition introducing a national biometric smartcard as a major vehicle for financial inclusion.

He praised Amalgamated Bank for introducing the new products. He later launched the products.

The four new products approved by the Bank of Ghana are Amal Easysave Account, AmalBank Pay Advance Salary Scheme (PASS), Executive Savings Account and Pearl Account.

The Easysave Account is a savings account for the ordinary person and one does not need any minimum deposit to open an account. With Pay Advance Salary Scheme (PASS), one can access 75% of his or her salary before pay day while the executive savings account offers 2% interest rate above the bank's normal savings rate.

The Pearl Account is a COT-free account. It is a savings, current and investment account.

The Managing Director and Chief Executive Officer (CEO) of the bank, Mr. Oluwole Ajomale said his bank crossed the ¢1 trillion mark in its total asset and has concluded a US$10 million trade finance line for on-lending to customers.

The products were presented to the public by the Head of Retail Banking, Mr. Lawrence Agimsin. The Chairman for the occasion was Mr. Stefan Atta, Board Chairman of the bank.