Second Deputy Governor urges RCBs to empower women for economic transformation

By Maame Efua Kwaduah

The Second Deputy Governor of the Bank of Ghana, Mrs. Matilda Asante Asiedu, has called on Rural and Community Banks (RCBs) to place women at the centre of their strategies, stressing that empowering women is not only fair but also smart business.

Her appeal comes as Ghana intensifies efforts to strengthen its financial sector and promote sustainable development. By prioritising women-focused initiatives, the Bank of Ghana highlights the transformative potential of women entrepreneurs and workers, which is expected to boost community economies, reduce poverty, and support national goals for equitable growth across regions.

Delivering the keynote address at the 2nd ARB Women’s Conference, held as part of the climax of the 10th National Rural Banking Week in Ho, Mrs. Asante Asiedu emphasised the critical role women play in sustaining rural economies and advancing financial inclusion.

Speaking on the theme “Driving Sustainable Financial Inclusion and Good Governance in Rural and Community Banks through ESG Principles,” she commended the Association of Rural Banks and ARB Apex Bank for sustaining a platform that allows the sector to reflect, assess progress, and chart a clear path forward.

She noted that rural banking has, for over four decades, served as the backbone of Ghana’s financial inclusion agenda, expanding access to formal finance in previously underserved communities.

Highlighting the importance of Environmental, Social, and Governance (ESG) principles, Mrs. Asante Asiedu explained that modern financial institutions are measured not only by profitability but also by the quality of their impact, fairness of practices, and responsibility in managing risks.

“ESG is not a burden; it is a strategic advantage,” she said, adding that banks embedding these values build trust faster, innovate confidently, and attract sustainable investment.

The Second Deputy Governor stressed that women remain central to rural economic transformation. She revealed that about 63% of loans issued by RCBs go to women, with this portfolio performing strongly and maintaining non-performing loan ratios well below the wider banking sector.

“When rural women thrive, entire communities rise with them,” she declared, noting that women repay loans faithfully, invest strategically, and build enduring businesses.

Mrs. Asante Asiedu further urged that every RCB board include at least one woman. However, she insisted that representation is only the starting point. Women must also participate in product development, credit decisions, and long-term planning.

“The sector becomes stronger when women’s voices shape its future,” she added.

She drew attention to climate change challenges, noting that unpredictable weather, floods, and droughts affect rural incomes and loan performance. She encouraged RCBs to leverage green finance by supporting renewable energy, climate-smart agriculture, and eco-friendly enterprises, creating new business pathways while protecting the environment.

On regulation, she reaffirmed the Bank of Ghana’s commitment to strengthening supervision, supporting capacity-building, and promoting responsible innovation.

She cited the Sustainable Banking Principles and the Corporate Governance Directive for RCBs as key frameworks to ensure resilience, transparency, and accountability. She further urged rural banks to recommit to sustainability, fairness, gender equity, environmental responsibility, and good governance, describing these values as “the currency of trust in a fast-changing world.”

The National President of the Association of Rural Banks, Eric Appiah, said the 10th Rural Banking Week theme is timely and transformative, reminding the sector that its mission goes beyond providing financial services. It is about building resilient communities, empowering the underserved, and ensuring that individual banks operate with integrity, responsibility, and sustainability.

He stressed that rural and community banks are uniquely positioned to champion financial inclusion for farmers, traders, teachers, and youth seeking opportunities. Embedding ESG principles ensures inclusion is both wide-reaching and sustainable.

Environmental responsibility means financing projects that protect land and resources; social responsibility prioritises the welfare of customers and employees; governance upholds transparency, accountability, and ethical leadership. Together, these principles form the foundation of trust and long-term growth.

Mr. Appiah urged the sector to embrace innovation, collaboration, and digital transformation to reach the unbanked, strengthen governance, safeguard stakeholder confidence, and align strategies with national and global sustainability goals.

“Financial inclusion is not charity; it is empowerment. It is about giving every Ghanaian, regardless of location or status, the opportunity to participate in and benefit from the financial system,” he said.

In closing, he called on all stakeholders government, regulators, development partners and communities to support rural banks in achieving their vision of inclusive, sustainable, ethical, and impactful banking.

The Executive Director of the Association, Solomon Amankwah, said the sustainability of rural and community banks depends on integrating ESG principles into operations.

“Financial inclusion is not just about opening accounts; it is about creating systems that empower people, protect our environment, and uphold transparency. Embedding ESG ensures rural banks remain relevant, resilient, and trusted partners in national development. This allows services to reach the most vulnerable while safeguarding the long-term health of institutions and communities,” he explained.

He added that the Association’s future focus includes strengthening governance structures, accelerating digital transformation, and building capacity across all member banks. Working closely with regulators, government, and development partners, the Association seeks to align the sector’s efforts with Ghana’s broader financial inclusion agenda.

Mr. Amankwah concluded that the 10th Rural Banking Week reaffirmed their commitment to innovation and accountability, and with ESG as a guiding framework, rural and community banks will continue driving inclusive growth, fostering trust and contributing to Ghana’s socio-economic transformation.