As financial sector credit systems and management keep changing, the Bank of Ghana is putting in place policies and regulatory reforms to strengthen the legal framework governing its Collateral Registry Department.
The Bank has explained that the Collateral Registry has become an integral part of Ghana’s financial infrastructure, supporting secured lending and enhancing credit risk management.
The First Deputy Governor Dr. Zakari Mumuni, speaking on behalf of the Governor at the 15th anniversary of the registry indicated that the Bank is pursuing additional measures to improve operational efficiency within the department.
“As we look ahead, our vision for the Registry is ambitious. We are investing in advanced technologies- including artificial intelligence, to enhance the system’s efficiency, security, and user experience. We are also undertaking policy and regulatory reforms to ensure the legal framework remains agile and responsive to the evolving credit landscape.
“Furthermore, we will deepen partnerships – with institutions such as the Driver and Vehicle Licensing Authority (DVLA), the Office of the Registrar of Companies (ORC), the Lands Commission, the International Finance Corporation (IFC), and the Swiss State Secretariat for Economic Affairs (SECO). These collaborations will introduce global best practices and technical support to drive further impact,” he said.
Head of Collateral Registry Department of Bank of Ghana, Fred Asiama Koranteng on his part outlined the critical role the registry has played in supporting micro, small, and medium-sized enterprises to access credit.
“I am pleased to report that there has been a significant increase in the registration of security interests on the registry platform. For example, in 2010, we registered 10,413 security interest registrations
“This figure rose to 382,215 registrations for the year 2024. Overall, as at the end of 2024, the registry had registered over 1.4 million security interests, with an average growth rate of 31.5%. Indeed, the registry registers approximately 9,000 security interests every week. This is not just a statistic.
“It’s the story of empowerment, of economic opportunity, and of a better future. The registry, having grown from an emerging outlet to a cornerstone of garnished credit infrastructure, has significantly contributed to the creation of an enabling environment for countless micro-, small-, and medium-sized enterprises to access credit that was once beyond their reach. For financial institutions, the registry provides a transparent and reliable platform to assess and manage credit risk,” he added.
Beyond supporting formal banking processes, the Collateral Registry has expanded the frontier of financial inclusion. With the Micro, Small and Medium-Size Enterprises (MSMEs), who often lack traditional forms of collateral, can now use movable assets like stock, receivables, and tools of trade to secure credit.
This is a significant step toward democratizing finance in Ghana. By unlocking access to credit for underserved groups, the Registry has contributed meaningfully to job creation, business resilience, and local economic growth.
”Fifteen years ago, access to credit in Ghana was often constrained by rigid collateral systems, fragmented legal frameworks, and limited transparency” enthused Koranteng.
“For small business owners, access to finance was a distant hope. Today, because of the work we celebrate here, more Ghanaians can secure financing using movable assets – from vehicles to machinery to inventory. As we reflect on the journey of the Collateral Registry, it is important to recognise its role in transforming our credit market and supporting financial inclusion, especially for small and medium-sized enterprises (SMEs).”
“More than a registry, it has become a tool of empowerment,” Dr Mumuni said.
The Registry was established under the Borrowers and Lenders Act, 2008 (Act 773), later repealed and replaced with the 2020 Act (Act 1052). Its creation was a response to a fragmented system for secured credit, where multiple laws coexisted without offering a clear or efficient path for lenders and borrowers.
Before its establishment in February 2010, lending was hampered by information asymmetry, limited data on collateral, and a preference for immovable assets. The lack of a streamlined framework increased risk for lenders and restricted credit access for businesses without land or buildings to pledge.
The Collateral Registry addressed these challenges head-on. By creating a centralized platform for the registration of both movable and immovable assets, the Registry offered lenders a trusted and transparent system to assess credit risk and protect their security interests.
By Adnan Adams Mohammed
