Former Minister of Power and governance expert, Dr. Kwabena Donkor, has raised concerns over the persistent weakness in corporate governance across Ghanaian businesses, warning that the trend is particularly damaging for local banks and indigenous enterprises.
In an interview with The High Street Journal, Dr. Donkor argued that poor governance practices—including appointing family members, friends, and loyal associates over qualified professionals—have left Ghanaian-owned institutions vulnerable to mismanagement, stagnation, and collapse.
“At the heart of our business failures—whether public or private—is poor corporate governance. Absolutely poor corporate governance,” he said, highlighting that many directors lack the expertise to interpret financial statements or provide meaningful oversight.
Dr. Donkor also pointed to a broader cultural challenge, noting that business owners often resist appointing highly skilled individuals for fear of losing control or facing dissenting opinions. “We seem to be a people afraid of knowledge,” he said.
The former minister lamented that even regulatory and advisory bodies such as the Ghana Institute of Directors have remained largely silent, failing to push for public awareness and reforms that could strengthen board oversight.
Citing examples from Namibia, Dr. Donkor recommended reforms that would ensure directors are competence-driven, trained, and accountable, including:
Prioritising professional qualifications over personal loyalty
Ensuring clear understanding of directors’ legal duties
Linking remuneration to performance
Creating a national pool of trained, certified board members
“Without these measures, Ghana will continue to experience cycles of business failure and weakened institutions,” he warned.
Dr. Donkor’s comments underscore the urgent need for Ghanaian businesses—especially banks—to modernise corporate governance structures and embrace accountability as a key driver of sustainable growth.
