Is recapitalisation regulation a disrupter? Survival and sustainability of indigenous Ghanaian banks
Qualitative Research in Financial Markets
ISSN: 1755-4179
Article publication date: 22 February 2022
Issue publication date: 7 July 2022
Abstract
Purpose
This study aims to explore how the implementation of the recapitalisation by the Bank of Ghana disrupted the indigenous banks’ sources of accessing capital to raise the required amount within the mandatory stipulated time/deadline.
Design/methodology/approach
This study used purposive sampling techniques to interview key role players and senior members involved in the bank’s recapitalisation process and/or have in-depth information on the 2017–2018 recapitalisation period.
Findings
This study revealed that government directives significantly shape banks regulations and strategy; accordingly, any state-directed policies must be communicated cautiously, well explained and implemented to reduce any negative consequences.
Originality/value
This study makes a significant contribution to knowledge by exploring how directives (arbitrary) of regulatory bodies can influence the business as well as its other stakeholders (such as the depositors, public, among others). Secondly, the study highlights how the delays in government support may not derive the benefits expected by the regulator.
Keywords
Citation
Takyi, L.N. and Naidoo, V. (2022), "Is recapitalisation regulation a disrupter? Survival and sustainability of indigenous Ghanaian banks", Qualitative Research in Financial Markets, Vol. 14 No. 4, pp. 550-569. https://doi.org/10.1108/QRFM-07-2021-0116
Publisher
:Emerald Publishing Limited
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