Government terminates appointment of independent directors at Development Bank Ghana over audit findings
The Government of Ghana has officially terminated the appointments of all independent directors at the Development Bank Ghana Ltd. (DBG), citing serious findings from recent procurement and forensic audits.
In a letter dated June 17, 2025, signed by Finance Minister Dr. Cassiel Ato Forson, the Ministry noted that the decision follows the outcomes of a “Procurement Review,” “Value for Money Review,” and a “Forensic Investigation Report” involving the bank’s operations.
“We are writing to terminate your appointment as Independent Director with immediate effect,” the letter reads, referencing clause 3.4 (viii) of the director’s contract dated January 24, 2024.
The Ministry acknowledged receipt of a resignation letter from one of the directors dated June 3, 2025, but emphasized that the dismissal was prompted by governance failures and audit concerns—not voluntary departure alone.
Key Audit Concerns Cited:
- Breaches in procurement procedures
- Lack of value-for-money assurances
- Red flags raised in a forensic investigation
The government has instructed the affected individuals to return all company property in their possession as part of the disengagement process.
Governance and Public Accountability in Focus
This sweeping move by the Ministry signals intensified efforts by the government to hold leadership at public financial institutions accountable. It comes amid ongoing scrutiny over how state-backed financial institutions manage public funds, particularly in the wake of Ghana’s IMF-backed fiscal restructuring agenda.
Development Bank Ghana, established to provide long-term capital for key sectors like agriculture, manufacturing, and SMEs, plays a crucial role in Ghana’s post-COVID economic recovery. The integrity and efficiency of its leadership are therefore under high public and international scrutiny.
What’s Next for DBG?
While the Ministry has yet to announce replacements, stakeholders—including multilateral development partners—will be watching closely to see whether new board members are appointed under a stricter vetting framework.
Analysts suggest this action may restore investor confidence and reinforce transparency within Ghana’s financial governance space.
The termination of all independent directors at DBG underscores the government’s commitment to financial oversight and accountability. As investigations continue, the public and stakeholders await the naming of new leadership and potential legal implications stemming from the audit revelations.
