Ghana’s banking sector is showing renewed strength, with total industry assets rising to GH¢465.4 billion as of February 2026, according to the latest Monetary Policy Report from the Bank of Ghana.
The 21 percent year-on-year growth in assets signals a sector that is steadily regaining momentum, underpinned by stronger balance sheets and improved domestic positioning. Although the pace of expansion is slower than in the previous year, it reflects a shift toward more stable and sustainable growth.
A key highlight of the report is the increasing dominance of domestic assets, which now account for 93.8 percent of total industry assets, up from 88 percent a year earlier. This trend suggests that banks are becoming more locally oriented, reducing exposure to external risks while deepening their role in the domestic economy.
Investment activity emerged as a major driver of growth during the period. Total investments rose sharply by 57.5 percent to GH¢192.8 billion, supported largely by a surge in short-term instruments. Holdings in these instruments more than doubled, increasing by 130.1 percent, as banks took advantage of improved money market yields and enhanced liquidity management strategies.
Deposits remained the backbone of the sector’s funding structure, climbing 18 percent to GH¢338.5 billion. The growth was driven primarily by domestic inflows, reflecting a gradual return of public confidence in the banking system.
The industry’s capital base also recorded significant improvement. Shareholders’ funds expanded by 44.1 percent to GH¢60.6 billion, supported by robust profitability and ongoing recapitalisation efforts across the sector.
Despite these gains, credit growth moderated during the review period. Analysts view this as a cautious and deliberate adjustment, with banks prioritising asset quality and strengthening risk management practices in a stabilising macroeconomic environment.
Overall, the data point to a banking sector that is not only expanding but doing so on firmer and more resilient foundations, positioning it to play a stronger role in supporting Ghana’s economic recovery.
Source: businesspostonline
