BoG insist banks cut NPLs to 10 per
The Bank of Ghana (BoG) has directed commercial banks to reduce their non-performing loan (NPL) ratios to below 10% by the end of 2026 to strengthen financial stability. Governor Dr. Johnson Pandit Asiama reiterated this directive, noting that current NPLs, though reduced to 16.1%, remain too high.
Why it matters
This directive is crucial for Ghana's economic health, as high NPLs constrain banks' ability to extend new credit, impacting business financing and broader economic development. It signifies a proactive regulatory effort to stabilize the financial sector and support sustainable growth.
Accra, Aug. 5, GNA – The Bank of Ghana (BoG) has directed commercial banks to reduce their non-performing loan (NPL) ratios to below 10 per cent by the end of 2026.
The Central Bank said the reduction was necessary to strengthen financial stability, improve credit growth and support sustainable financing of businesses.
Dr Johnson Pandit Asiama, BoG Governor, reiterated the directive at a high-level forum organised by the Chartered Institute of Restructuring and Insolvency Practitioners (CIRIP), Ghana, in Accra.
The forum, supported by the BoG, was on the theme: “Financing distressed companies: The impact of NPLs, IFRS nine standards and prudential regulations on post-commencement financing for distressed companies under rescue and possible interventions.”
Get smarter about the news
Sign up free for a feed built around what you actually care about, Dive Deeper research on any story, and the full text of every article.
Create free accountAlready have an account? Sign in