BoG, CIB Introduce Mandatory Ethics Certification to Tackle Rising Bank Fraud

The Bank of Ghana (BoG) and the Chartered Institute of Bankers (CIB) Ghana have announced new measures aimed at strengthening ethics, professionalism, and public trust within the country’s financial sector, following an alarming rise in staff-related fraud and unethical banking practices.

Speaking on behalf of the Governor, Dr Johnson Pandit Asiama, at the 29th National Banking and Ethics Conference in Accra, the Director of Banking Supervision at the BoG, Mr Ismail Adam, stressed that ethics remained the cornerstone of trust and long-term stability in the financial industry.

“Ethics is not cost; it is a strategic investment. It is the foundation on which trust, innovation, and resilience are built. Trust is a bank’s greatest asset, essential for long-term success in today’s competitive financial landscape,” he said.

Mr Adam noted that despite the regulatory reforms undertaken in recent years, unethical conduct continued to threaten the integrity of Ghana’s banking system.

“Ghana’s banking sector continues to face significant challenges in upholding these standards. Unethical practices remain widespread, with staff-related fraud on the rise,” he cautioned.

Citing the 2024 Bank of Ghana Fraud Report, Mr Adam revealed a 5 percent increase in reported fraud cases, with the total value at risk surging by 13 percent to approximately GH¢99 million.

“The report highlights a surge in forgery, document manipulation, and identity theft. Notably, there was a significant increase in staff-involved fraud and fraudulent activities within the Payment Service Providers (PSP) sector, raising serious concerns about internal controls and ethical compliance across the industry,” he stated.

He warned that such issues undermine institutional integrity and public confidence, underscoring the urgent need for stronger ethical frameworks and greater accountability.

To restore public trust and promote a culture of integrity, the BoG and CIB Ghana have formed a strategic partnership to strengthen ethical standards and reduce fraud in the financial sector.

“As a key outcome of this collaboration, CIB Ghana, in collaboration with the Bank of Ghana and the Ghana Association of Banks, has developed the Ghana Banking Code of Ethics and Business Conduct for banks in Ghana as well as an E-learning Programme to promote best banking practices and high ethical standards within the banking sector,” he said.

Mr Adam disclosed that the central bank had granted approval in principle for CIB Ghana’s proposed mandatory Ethics Certification Programme for all banking professionals. The certification will form part of the BoG’s fit and proper assessment criteria for key management personnel and directors.

He also introduced the CIB Ghana Digital Academy Programme, designed to equip banking professionals with the necessary digital skills and ethical foundations for responsible innovation in the era of fintech and digital transformation.

Mr Adam further highlighted ongoing regulatory interventions by the BoG to enhance transparency and accountability in the financial sector.

“The Bank of Ghana has demonstrated unwavering commitment to strengthening ethical standards through a series of regulatory reforms. These include the introduction of Sustainable Banking Principles, directives on consumer protection, enhanced governance frameworks, and stricter oversight of digital lending and market conduct,” he said.

He concluded by urging financial institutions to make ethics a central part of their business culture.

“As our industry evolves, let us acknowledge that ethical conduct is no longer a choice; it is the defining standard that determines whether a business earns trust and thrives or loses credibility and fades away,” he said.

“The Bank of Ghana remains committed to promoting an ethical banking industry. As we mark this conference, let us leave with a renewed commitment to making ethics the heartbeat of Ghana’s banking sector, ensuring that integrity, transparency, and accountability guide every decision and action.”

The new ethics certification initiative is expected to take effect after the completion of stakeholder consultations, with the goal of fostering a more responsible and trustworthy banking environment in Ghana.