Banks in Ghana recorded a combined GH¢15.0 billion profit in 2025, up from GH¢10.4 billion in 2024, according to the latest Banking Sector Developments report.
The performance represents a 43.5% growth in profits, significantly higher than the 26.2% growth recorded the previous year, highlighting stronger operational efficiency and improved asset quality across the industry.
Profit Before Tax Records Strong Growth
Profit before tax (PBT) also expanded by 38.4% in December 2025, compared with a 24.4% growth recorded in December 2024.
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While most income lines grew during the year, the pace of growth slowed compared to 2024. Only “other income” recorded a stronger growth rate in 2025 relative to the previous year.
Net Interest Income Growth Slows
Net interest income growth moderated to 16.4% in 2025, down from 18.0% in 2024.
The slowdown was attributed to:
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Lower yields on money market instruments
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Reduced growth in interest income
Fees and commissions also reflected slower momentum, growing by 9.5% in 2025, compared to a much stronger 25.8% growth recorded in 2024.
Cost Moderation Boosts Bottom Line
Despite slower income growth, banks benefited from significant moderation in operating costs.
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Operating expenses grew by 14.0% in December 2025, compared to 22.0% in 2024.
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Growth in staff and non-staff expenses slowed considerably.
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Provisions for depreciation, bad debt, and impairment losses contracted sharply by 57.1% in December 2025, compared to an 11.7% contraction in December 2024.
The sharper decline in impairment charges played a crucial role in strengthening overall profitability.
Improved Profitability Ratios
The sector’s key profitability indicators improved during the year:
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Return on Assets (ROA) rose to 5.7% in December 2025, up from 5.0% in December 2024.
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Return on Equity (ROE) remained strong at 30.8%, reflecting stable shareholder returns.
These improvements signal a healthier banking system, stronger capital buffers, and improved asset quality following recent economic challenges.
Outlook
The 2025 performance suggests Ghana’s banking industry is consolidating its recovery, driven by cost discipline, reduced impairment losses, and steady income growth despite moderating interest rates.
While revenue growth has slowed in certain segments, improved efficiency and asset quality management have positioned the sector on a firmer profitability path.
Source: Accra Business News
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