BoG awaits legal advice on next steps after court orders restoration of GN Savings and Loans licence

The Bank of Ghana is awaiting legal advice from its external lawyers and the Receiver of GN Savings and Loans Company Limited before determining its next move following a landmark Court of Appeal ruling ordering the restoration of the company’s licence.

The ruling, delivered unanimously by the Court of Appeal on May 21, 2026, overturned an earlier High Court decision that had upheld the central bank’s revocation of GN Savings and Loans’ operating licence during Ghana’s financial sector clean-up exercise.

In its judgment, the appellate court directed the Receiver to immediately hand over possession, management, and operational control of the company back to its shareholders, marking a significant turning point in one of the most closely watched legal disputes linked to the banking sector reforms.

According to JOYBUSINESS sources, the central bank has formally requested a certified copy of the ruling and is currently consulting its external legal counsel, who represented the Bank of Ghana throughout the proceedings, before deciding whether to comply with the judgment or challenge it at the Supreme Court.

The Receiver is also expected to provide legal and operational advice to the central bank, particularly on the broader implications the judgment may have on other financial institutions affected by the controversial clean-up exercise initiated in 2017.

Analysts say the ruling could potentially open the door for further legal challenges from other defunct banks and savings and loans companies whose licences were revoked during the restructuring of Ghana’s financial sector.

There are growing concerns within financial and legal circles about how the decision could affect previous regulatory actions taken by the Bank of Ghana if the Court of Appeal’s ruling is allowed to stand without further judicial review.

Earlier reports had suggested that the central bank was preparing to proceed to the Supreme Court to contest the judgment. However, it remains unclear whether that option is still under active consideration as consultations continue behind closed doors.

Sources close to the matter indicate that the Bank of Ghana could issue an official statement later today or within the coming days to clarify its position and outline its next legal steps.

Banking Consultant Predicts Supreme Court Battle

Banking consultant Nana Otuo Acheampong believes the matter is likely headed to the Supreme Court, citing the complexity and far-reaching consequences of the banking sector clean-up litigation.

According to him, several court cases connected to the financial sector reforms have dragged on for years, making it unlikely that the dispute surrounding GN Savings and Loans would end at the Court of Appeal stage.

He further argued that the Bank of Ghana acted within the legal framework governing the clean-up exercise at the time the licence was revoked.

Groupe Nduom Plans Gradual Reopening

Meanwhile, President of Groupe Nduom, Dr Papa Kwesi Nduom, says the company is preparing for a phased return to operations following the court victory.

Speaking after the ruling, Dr Nduom disclosed that the first branch of GN Savings and Loans expected to reopen will be located in Elmina, with additional branches expected to resume operations gradually across the country.

“The first branch we will reopen will be in Elmina, and then from here on, step by step, we will get those branches opened over a period of time,” he stated.

He explained that the revival of the institution would follow a carefully planned and structured restoration strategy aimed at rebuilding confidence and restoring services to customers.

Background to the Case

On January 4, 2019, GN Bank Limited was reclassified as a savings and loans company and subsequently renamed GN Savings and Loans Company Limited.

Later, on August 16, 2019, the Bank of Ghana revoked the company’s licence and appointed a Receiver as part of the nationwide financial sector clean-up exercise, which saw the collapse or consolidation of several financial institutions.

The decision triggered a prolonged legal battle, with Groupe Nduom challenging the revocation in court and arguing that the central bank’s actions were unjustified.

The latest Court of Appeal ruling now represents one of the most significant legal setbacks for the Bank of Ghana since the financial sector reforms began.