Bank of Ghana Governor Dr Johnson Asiama has called on commercial banks to maintain the momentum in private-sector lending, saying the country’s improving economic conditions have created an opportunity to support business expansion and economic growth.
His appeal comes after private-sector credit recorded a sharp increase of 41.2% in June 2026, up from 8.6% in the same period last year. Real private-sector credit growth reached 34.1%, reflecting a significant expansion in lending activity.
Addressing Heads of Commercial Banks at a meeting held at Bank Square on Wednesday, Dr Asiama said the recent moderation in interest rates and the strengthening macroeconomic environment were beginning to translate into greater access to finance for businesses.
According to him, the strong growth in credit flows is a positive sign that easing financial conditions are supporting productive economic activity.
The Governor said banks now have a stronger platform to increase lending, pointing to improvements across key indicators in the banking industry.
Total banking-sector assets rose by 30.7% in June 2026, driven mainly by growth in deposits and shareholders’ funds. The sector’s Capital Adequacy Ratio improved significantly to 20.4%, compared with 10.6% a year earlier, indicating stronger capital positions.
He also highlighted the improvement in asset quality, noting that the non-performing loan ratio declined to 16.1% in June 2026 from 23.1% in June 2025.
Dr Asiama said these gains demonstrate the increasing resilience of the banking sector and enhance its capacity to support private enterprise.
He further pointed to the broader recovery in the economy, with real GDP growth reaching 6.4% in the first quarter of 2026, up from 6.2% a year earlier. Growth was largely driven by the services and industrial sectors.
Inflation has also continued to ease, with headline inflation falling to 4.6% in July 2026 from 5.3% in June, supported by lower food inflation and relative exchange-rate stability.
Despite the favourable trends, the Governor said the Bank of Ghana had maintained the policy rate at 14% because of ongoing uncertainties in the global economy, including geopolitical tensions and volatility in energy markets.
He encouraged banks to use the improving operating environment to deepen credit support for the private sector while maintaining prudent risk management practices.
