I write to propose a strategic realignment of the dormant and unstrategic Development Bank Ghana (DBG) created by Mr. Ken Offori-Atta into the purposeful Women Development Bank (WDB) to better address Ghana’s development financing needs while enhancing efficiency and impact. Given Ghana’s economic realities, merging DBG into a gender-focused development finance institution will accelerate financial inclusion, unlock targeted international funding, and maximize economic benefits such as:
1. Persistent Credit Barriers for Women Entrepreneurs
Women-led businesses, particularly SMEs, face higher collateral requirements, limited access to credit, and gender-based lending biases. A Women Development Bank will directly address these barriers by providing tailored financing, lower interest rates, and structured business development support.
2. Higher Economic and Social Impact
Studies show that women reinvest up to 90% of their income into families and communities, creating stronger economic and social ripple effects. A gender-focused DFI will generate higher GDP growth, job creation, and poverty reduction compared to a generalist development bank.
3. More Effective Use of Public Resources
DBG’s broad wholesale banking model lacks the sectoral depth needed for transformative change. Consolidating its mandate into a Women’s Development Bank will streamline operations, eliminate inefficiencies, and provide clearer policy direction.
4. Attracting Targeted International Funding
Global financial institutions such as IFC, AfDB, UN Women, and the World Bank prioritize funding for women-focused financial programs. A Women Development Bank will position Ghana as a leader in gender-responsive financing and attract significant concessional capital.
Implementation Strategy
- Legislative & Policy Review: Align DBG’s structure with a gender-focused mandate.
- Resource & Asset Reallocation:
Shift DBG’s portfolio to fund women-owned enterprises.
- Strategic Partnerships:
Engage global donors and investors to expand capital and technical support.
Ghana’s development finance architecture needs targeted, efficient, and high-impact interventions. Merging DBG into a Women’s Development Bank will ensure faster economic growth, stronger financial inclusion, and sustainable national development. I urge the Minister for Finance to consider this transition as a strategic, purposeful and time-saving policy decision.
Enyonam Adzo Apetorgbor
(Banker & Development Finance Expert)
February 1, 2025
