Bank lending in Ghana experienced a dramatic rebound midway through 2026, driven largely by aggressive financial support to businesses and families across the country.o9ii¾
According to the central bank’s latest Monetary Policy Report for July 2026, total loans and advances provided by commercial banks surged by 39.4 percent year-on-year to hit GH¢124.3 billion by the end of June. This m⁹⁹iarks a sharp recovery from the sluggish 5.5 percent growth recorded during the same period in 2025.
The surge was led almost entirely by the private sector. Loans extended to private enterprises and households climbed by 39.6 percent to GH¢119.1 billion, up from a modest 9.2 percent growth a year prior. Consequently, the private sector now commands 96.2 percent of all commercial bank credit, slightly up from 95.1 percent last year.
Meanwhile, public sector borrowing showed signs of life after a long lull. Credit to state institutions grew by 5.6 percent to GH¢4.7 billion, recovering from a steep 31.3 percent drop in mid-2025. Despite this uptick, the public sector’s overall share of bank credit edged down to 3.8 percent from 4.9 percent, confirming that local banks are prioritizing private enterprise over government financing.
A closer look at the distribution of these funds shows that money flowed primarily into three major areas, which together absorbed over 70 percent of all bank loans.
The services sector maintained its lead as the biggest recipient, taking 36.6 percent of total credit, though its share dropped slightly compared to last year. Commerce and finance followed as the second largest beneficiary at 24.1 percent. The construction industry recorded a significant boost, securing 10.7 percent of overall funding.
Together, these top three industries accounted for 71.4 percent of bank lending at the end of June, down marginally from 72.3 percent a year ago. Analysts view this slight spread as a signal that funding is beginning to trickle into other emerging sectors of the economy.
By: Rainbowradioonline.com/Ghana