This study examines the causes and remedial measures of the ongoing banking crises in Ghana using cross-sectional survey research. The respondent agreed that the bank-specific causes include poor corporate governance practices, severe capital impairment, severe liquidity impairment, high non-performing loan ratio, low profitability levels and small bank size. They also agreed that the banking industry-specific causes include poor banking regulation and supervision, high Treasury bill rate and high Ghana reference rate. We also find that both bank size and profitability were statistically insignificant. The multiple econometric regression analysis depicts profitability, liquidity risk, Treasury bill rate and banking regulation and supervision to have no significant effect on changes in the overall level of satisfaction of the respondents. Important policy implication for the continuous implementation of the capital requirement, corporate governance, fit-and-proper, and enterprise risk management directives, inter-alia are encouraged.

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Keywords

Banking crisis; remedial measures; corporate governance; Ghana.