The Non-Performing Loan (NPL) ratio remains a key risk to the banking sector – BoG

The Non-Performing Loan (NPL) ratio is still a major risk to the banking industry, according to the Bank of Ghana, notwithstanding improvements in asset quality.

In February 2026, the NPL ratio dropped from 22.6% to 18.7%. A decrease in the NPL stock and an increase in bank credit were the main causes of this.

However, a lot of market observers and analysts think that the NPL is still high.

In February 2026, however, the banking industry’s performance improved. Domestic deposits, domestic borrowings, and shareholder funds all contributed to an increase in total assets.

Investments, which increased by 57.5% as opposed to 8.6% in February 2025, were the primary driver of asset growth.

However, over time, the financial soundness metrics—profitability, liquidity, solvency, asset quality, and efficiency—all showed improvements.

Source: newsthemegh.com