Collateral Registry: MSMEs to use movable assets to secure credit

At a ceremony marking its 15th anniversary, the Collateral Registry of the Bank of Ghana announced measures aimed at transforming credit access for micro, small and medium-sized enterprises (MSMEs) through innovation, policy reform, and strategic partnerships.

Delivering a keynote address on behalf of the Governor of the Bank of Ghana, Dr. Johnson Pandit Asiama, First Deputy Governor Dr. Zakari Mumuni emphasized the Registry’s role as a driver of financial inclusion and its evolving mandate to serve a wider range of borrowers.

“MSMEs, who often lack traditional forms of collateral, can now use movable assets like stock, receivables, and tools of trade to secure credit. This is a significant step toward democratizing finance in Ghana,” Dr. Mumuni stated.

Established under the Borrowers and Lenders Act, the Registry was created to address longstanding barriers in Ghana’s credit market, such as fragmented legal frameworks, information asymmetry, and a bias toward immovable assets as collateral. Since its inception in 2010, the platform has enabled lenders to assess credit risk more transparently, contributing to a more inclusive and efficient financial ecosystem.

According to Dr. Mumuni, the next phase of the Registry’s development will leverage advanced technologies, including artificial intelligence, to improve system efficiency, security, and user experience.

“We are investing in advanced technologies to enhance the system’s efficiency, security, and user experience,” he announced. “We are also undertaking policy and regulatory reforms to ensure the legal framework remains agile and responsive to the evolving credit landscape.”

Dr. Mumuni also revealed plans to strengthen inter-agency collaboration, citing partnerships with the Driver and Vehicle Licensing Authority (DVLA), Office of the Registrar of Companies (ORC), Lands Commission, International Finance Corporation (IFC), and the Swiss State Secretariat for Economic Affairs (SECO). These partnerships are expected to introduce global best practices and technical expertise to further enhance the Registry’s reach and effectiveness.

Over the past 15 years, more than 4,450 “Memoranda of No Objection” have been issued, streamlining enforcement of security interests and reducing the legal hurdles borrowers and lenders often face.

While challenges remain in expanding credit access across all regions and economic segments, the Registry’s leadership remains optimistic.

“The Collateral Registry has become a pillar of Ghana’s financial architecture, a quiet but powerful enabler of enterprise,” Dr. Mumuni said.

“Let us continue to build a system that works for all Ghanaians. A system that is resilient, inclusive, and empowering,” he added.