Ghana’s GCB Bank has received the nod of the country’s central bank to acquire all deposits and selected assets of struggling local lenders UT Bank and Capital Bank.

The move follows the revocation of licences of UT Bank and Capital Bank due to their adverse financial condition.

“The remaining assets and liabilities will be realised and settled respectively through a receivership process to be undertaken by Messers Vish Ashiagbor and Eric Nana Nipah of PricewaterhouseCoopers (PwC),” the Bank of Ghana said in a statement.

GCB will now control the main offices and branches of the two banks, while customers and staff of the two banks will now migrate to GCB.

The central bank said that its decision aims to boost the stability of the local banking sector and protect depositors’ funds.

“GCB was selected amongst three others on the basis of purchase price, cost of funding, branches to be retained, staff to be employed and impact on the acquiring bank’s capital adequacy ratio,” the central bank said.