Afrobarometer report: Despite recent banking shake-up, Ghanaians prefer banks to Microfinance, Susu and others

Ghanaians still have confidence in the banking sector and still prefer banks to microfinance companies and others in spite of the recent banking sector crisis.

Afrobarometer in its latest round of public-opinion surveys indicated that despite challenges over recent banking sector shake-up that led to the collapse of financial and non-financial institutions, the public still find banks more reliable.

The survey shows that banks are the most trusted financial institution, followed by mobile money services.

According to the report, far fewer Ghanaians consider savings and loan companies, microfinance companies, and traditional susu collectors safe places to keep their money.

Keys findings detailed more than two out of three Ghanaians but only 48 per cent of rural residents live in zones that have banks, money-transfer points, mobile banking services, or ATMs.

According to the report, what this means is that considerably more 94 per cent reside in areas with mobile phone service.

It indicates that half 50 per cent of Ghanaians personally own bank accounts, while almost nine in 10 own mobile phones.

Based on the above, banks are the most trusted financial institution, considered “very safe” by a majority 58 per cent of Ghanaians, followed by mobile money wallets.

However, a large majority of the respondents say it is not safe to keep their money with traditional susu collectors at home, with microfinance companies or with savings and loan companies.

The report further said while considered the least safe mode of keeping money, susu collectors are more trusted in rural areas than in cities.

Older citizens have less confidence in mobile money services (65 per cent) than their younger cohorts, according to the report.