Deloitte West Africa upbeat about resilience of Ghana’s banking sector

Deloitte West Africa has expressed confidence in the resilience of Ghana's banking system, despite challenges posed by macroeconomic factors.

In its economic brief, Deloitte highlighted the Bank of Ghana's (BoG) October 2024 confidence surveys, which showed improved business confidence, with firms meeting short-term targets and feeling optimistic about the future.

The BoG's Monetary Policy Committee (MPC) decision to maintain the policy rate at 27% was seen as a strategy to anchor inflation expectations and stabilize the cedi.

Deloitte believes this decision will support economic growth and help stabilize prices, while strengthening the local currency further.

Deloitte's optimism extends to the overall outlook for Ghana's economy, expecting growth driven by rising business confidence and economic activities.

However, in Nigeria, Deloitte noted the impact of rising fuel prices on production costs and inflation, resulting in tighter credit conditions and increased borrowing costs.