Union Savings and Loans Limited has acquired full universal banking licence and is on its way to becoming a fully-fledged bank “soon”.

A statement from the financial institution to customers said: “Union Savings and Loans, your reliable banking partner has acquired a universal banking license from Bank of Ghana and will soon launch as a Bank.

“As our valued customer, we would like to keep you informed that we are evolving to serve you better. Looking forward to a more fruitful banking relationship,” the statement added.

For the past two weeks, the savings and loans company has been running a social media campaign, especially on Facebook and WhatsApp, to inform customers about the new changes, including a change of name.

Meeting regulatory requirements

Sources say the company, which focuses on small and medium enterprises, has already met the stated capital requirement of GH¢120million by raising GH¢149million from existing investors and some new ones.

There are currently 30 universal banks operating in the country with total assets of more than GH¢57.2billion as at September 2015, while total paid up capital stood at more than GH¢2.72billion as at March 2015.The addition of Union Savings and Loans will bring the number of universal banks in the country to 31.

Change of name

The company is also expected to change its name from Union Savings and Loans Limited to Omni Bank to reflect its appeal to SMEs. Last year, it launched a product known as Omni Savings to attract customers to save.

The company was issued with a provisional licence in January and it is now ready to become a universal bank. Registered in 1989, Union Savings & Loans is one of the oldest savings and loans companies in Ghana and has been operating in the banking sector as a “Tier 2” Bank.

In 2013, a team of investors led by the Jospong Group took over and since then the company has undergone major restructuring and recapitalization which have seen it open new branches, whilst moving its head office to an ultra-modern facility at Dzorwulu in Accra.

Total assets have grown from GH¢15million in 2012, to GH¢184million in 2014, which is a growth of more than 1000percent. Deposit base has also grown from GH¢10million in 2012 to GH¢100 million in 2014.