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International Monetary Fund. External Relations Dept.

Acompetitive banking system is important for effective financial intermediation—channeling savings into productive investment—and this, in turn, is a key to economic growth. A new study finds that an uncompetitive market structure as well as certain other characteristics of the banking system and economy are hampering financial intermediation in Ghana. Thierry Buchs, who recently transferred from the World Bank’s International Finance Corporation to Switzerland’s State Secretariat for Economic Affairs, and Johan Mathisen of the IMF’s Policy Development and Review Department, spoke with Jacqueline Irving of the IMF Survey.