Bank assets grow 34%, CAR rises to 14.4%, NPLs fall to 22.6% – BoG

Ghana’s banking sector is improving, according to Bank of Ghana Governor Johnson Asiama.

He spoke to journalists on Friday, March 28, 2025. This followed the Monetary Policy Committee's (MPC) 123rd meeting. The meeting assessed recent economic developments and inflation risks.

Dr. Asiama reported that total bank assets grew by 34.0% in February 2025. This is up from a 12.1% growth during the same period last year.

The central bank noted an increase in the Capital Adequacy Ratio (CAR). It rose to 14.4%, compared to 13.6% last year. Without regulatory reliefs, CAR was at 12.1%.

The Governor also mentioned a decline in the Non-Performing Loan (NPL) ratio. It fell to 22.6% in February 2025 from 24.6% in February 2024.

Excluding fully provisioned loans, the NPL ratio was at 8.9%. Overall, Financial Soundness Indicators showed improvements in several areas.

These areas include asset growth, solvency, liquidity, efficiency, and profitability.

However, Dr. Asiama warned that credit risks remain high due to rising non-performing loans.

He added that the central bank's latest assessment shows some moderation in systemic risks. This improvement is linked to better solvency and liquidity within the banking sector.