Banking industry assets rise by 22.9% to reach GHS 204bn at end-August 2022 – BoG

The banking sector has remained resilient for the past eight months of the year, as the industry’s total assets value at end-August 2022, increased by 22.9 percent on year-on-year basis to GH¢204.6 billion.

This compares favourably to the 16.7 percent annual growth recorded in the previous year.

The rise in assets, the BoG notes, was due to sustained growth in deposits. Total deposits increased by 22.5 percent to GH¢136.7 billion, relative to 21.8 percent growth in August 2021.

The key Financial Soundness Indicators (FSIs) of the banking industry have remained positive in the year, with Capital Adequacy Ratio at 18.1 percent, well above the regulatory minimum of 13.0 percent.

The sector was also liquid, reflected by an increase in the core liquid assets to short-term liabilities to 31.1 percent in August 2022 from 24.7 percent in the previous year.

Asset quality also improved as the Non-Performing Loans ratio declined to 14.3 percent at end-August 2022, from 17.3 percent in August 2021, reflecting partly, the higher level of outstanding loans.

Banking sectorBoG