WWBG was incorporated on May 31, 1982 as a Non-Governmental Organisation and became fully operational as a private limited liability company on September 17, 1996. The company was subsequently licensed by Bank of Ghana in October 1996 as a savings and loans company.
The Bank of Ghana determined that the institution was insolvent in October 2017. The Bank of Ghana has since March 2018 engaged the Board and Senior Management on a number of occasions on the need to restore the institution’s paid up capital and capital adequacy ratio to the required minimum levels. The shareholders have not been able to comply with a capital restoration plan the institution submitted on March 27, 2018 that proposed additional capital injections to meet the required minimum capital adequacy ratio. The institution’s reported capital adequacy ratio and net worth were both negative as at end-May 2019.
Issues that led to the revocation of the institution’s licence
a. The institution’s Net worth of negative GH¢45.56 million as at end May 2019 indicates that its paid up capital is impaired in violation of Section 28(1) Act 930.
b. The institution’s capital adequacy ratio of negative 46.62% as at end May 2019 is in violation of Section 29(2) of Act 930.
c. The institution persistently recorded accumulated losses due to poor loan underwriting standards resulting in high non-performing loans.
d. The institution has consistently breached the minimum cash reserve ratio requirement since March 2019.
e. The institution’s failure to implement Bank of Ghana’s on-site examination recommendations.
f. The institution’s external auditors expressed an opinion on the institution’s 2018 audited financial statements that a material uncertainty exists that may cast significant doubt on the company’s ability to continue as a going concern.