'Banking fraud is a moral issue, not just about pay,' says Association of Banks president

Kwamina Asomaning, President of the Ghana Association of Banks, has dismissed a common belief. He stated that higher pay does not eliminate fraud in banking.

Asomaning argues that financial crime stems from personal values and institutional culture. He spoke on PM Express Business Edition on Joy News on Thursday. He is also the Managing Director of Stanbic Bank Ghana.

He noted that banking professionals are among the most privileged workers in Ghana. Misconduct often arises not from financial hardship but from ethical lapses.

In his view, compensation levels in the sector are generally decent. While some institutions may have issues, he believes pay structures can improve but are not the main problem.

He challenged the idea that lower-paid staff commit most financial crimes. “It will surprise you,” he said, “that misconduct often involves higher-paid employees.”

Asomaning emphasized the importance of moral upbringing for banking professionals. He believes banks must instill good values and character in their staff.

He acknowledged that society influences behavior but stressed banks' responsibility to shape their employees' ethics.

Additionally, he discussed high-pressure targets set by banks for employees. While these targets can be tough, they are necessary for profitability and sustainability.

“Banks are profit-making entities,” he explained. They need to ensure returns for shareholders while compensating their staff fairly.

Asomaning recognized that banking is a high-stakes industry. However, he urged institutions to balance ambitious goals with ethical work environments.

His comments come as Ghana's financial institutions face rising fraud cases, including internal breaches by employees.

He highlighted the need for banks to focus on ethical training and corporate values instead of relying solely on financial incentives to prevent fraud.