The Institute for Liberty and Policy Innovation (ILAPI) has revealed that the Bank of Ghana (BoG) currently manages close to GH₵500 million in dormant accounts accumulated over the last seven years. These funds, spread across various currencies including Ghanaian cedis, U.S. dollars, euros, and British pounds, are a mix of unclaimed assets held by financial institutions.
As of 2023, the total value of these dormant accounts stands at GH₵496.6 million, comprising GH₵167.8 million, $14.6 million, €2.3 million, and £2.4 million.
Peter Bismark Kwofie, ILAPI’s Executive Director, pointed out that a significant portion of these funds likely belongs to deceased individuals, including those who perished in floods, accidents, and other unforeseen disasters. Unfortunately, surviving family members remain unaware of the funds due to difficulties in tracing account holders and navigating bureaucratic hurdles.
In a statement, Mr. Kwofie highlighted the socio-economic impact of dormant assets. He said, “These funds could have lifted many families out of poverty, benefiting children, spouses, and relatives. However, due to their inaccessibility and the complicated process of reclaiming them, many vulnerable families continue to suffer.”
Under the Banks and Specialist Deposit-Taking Institutions Act of 2016 (Act 930), accounts are classified as dormant if there has been no customer-initiated activity for two years, with the funds transferred to the BoG after five years. Between 2021 and mid-2024, over 1.4 million accounts were moved to the central bank under these provisions. However, the BoG’s policies prevent the tracing of next of kin, compounding the challenge for families seeking to access these funds.
ILAPI has proposed several reforms aimed at facilitating access to these dormant assets, including:
National ID Integration: The BoG should require banks to request Ghana Cards for next of kin during account opening, streamlining identity verification and improving accessibility.
Public Transparency: The BoG should establish clear policies on dormant account management, ensuring transparency and public awareness.
Annual Reporting: The BoG should include dormant account data in its annual reports, detailing the funds received and offering more visibility to the public.
Collaborative Identification Efforts: The BoG should work with local government authorities and utilize Ghana’s national ID system to locate and notify beneficiaries.
Set Retention Periods for Dormant Funds: The BoG should introduce policies that limit the retention period for dormant accounts, ensuring that families can access funds via legal processes within a reasonable time frame.
A recent ILAPI study revealed that over 95% of respondents faced significant bureaucratic obstacles when attempting to reclaim funds from dormant accounts, with 70% of them abandoning the process. This has left many families in financial distress, unable to recover the funds that rightfully belong to them.
Mr. Kwofie emphasized, “The Bank of Ghana must implement clear and straightforward legal measures to ensure that vulnerable families can access these resources and avoid further economic exclusion.”
This call for reform underscores the urgent need for changes that would make dormant accounts more accessible to families, thereby promoting economic recovery and social stability.
