State-owned Bank of Baroda has closed its fully-owned subsidiary in Ghana and the license has been surrendered to the regulator there.
In December 2018, the bank had informed about sale of business (closure of overseas subsidiary) in Ghana.
"We further advise in the matter that Bank of Baroda (Ghana) Ltd has surrendered its banking license to the host country regulator at Ghana viz. Bank of Ghana and the Registrar of the Company, Ghana vide letter dated 11th June 2020, has informed that...the name of Bank of Baroda (Ghana) Ltd has been struck off from the register of companies and the said company is dissolved," Bank of Baroda said in a regulatory filing on Saturday.
Moreover, notice has been submitted to the Ghana Publishing Corporation for publishing the same in the next Gazette, it said.
The closure of overseas bank branches is part of government's plan to rationalise and streamline operations under the reforms agenda for the banking sector approved in 2017 under the then finance minister Arun Jaitley.
Under the PSB Manthan programme, the aim is to rationalise overseas operations for cost efficiencies and synergies in foreign markets, based on competitive strength and viability.
It also adopts to a differentiated banking strategy to leverage bank's competitive advantage, which may include branch network rationalisation for a strong regional connect.