Banks record profit in the first half of 2019 after banking sector reforms, Bank of Ghana report discloses

A Bank of Ghana (BoG) report has revealed that banks in the country have recorded an increase in profit following the banking sector reforms.

Bank of Ghana
  • Bank of Ghana said Banks madeb profits for the first half of 2019.
  • This according to the bank was due to the sectors reforms done recently.
  • The industry’s profit after tax for the year-on-year growth was 36.3%

The report which captures the performance of banks for the first half of 2019 said the profitability indicators of the banking sector improved during the first half of 2019 compared with the same period last year.

Industry profit after tax

The industry recorded profit after tax of GH¢1.67 billion, representing year-on-year growth of 36.3% compared with 21.7% in the same period last year.

This development the BoG explained was underpinned by higher growth of net interest income which grew by 20.7% reflecting both higher interest income from investments and lower interest expenses from reduced borrowings.

Income from Net fees and Commissions

Also, income from net fees and commissions grew by 3.7%, significantly below the 24.7% growth for the same period last year, attributable to the slowdown in the volume of off-balance sheet activities.

Overall operations

The report also revealed that banks’ overall operational expenses grew by 7.6%, which was higher than the prior year’s growth of 5.3% resulting from the sharp increase in staff cost to 30.8% growth from 5.6%t contraction the year before.

Operating expenses decline

Notwithstanding, other operating expenses declined by 11.4% in June 2019 from a growth of 16.3% a year ago, somewhat moderating the growth in operating expenses.

JOIN OUR PULSE COMMUNITY!

Unblock notifications in browser settings.

Eyewitness? Submit your stories now via social or:

Email: news@pulselive.co.ke

Recommended articles

Africa’s richest man Aliko Dangote seeks to raise an additional $1.1 billion to complete his refinery project by 2023

Africa’s richest man Aliko Dangote seeks to raise an additional $1.1 billion to complete his refinery project by 2023

9 most expensive African countries to rent a one bedroom apartment, based on property price to income ratio

9 most expensive African countries to rent a one bedroom apartment, based on property price to income ratio

Top 10 happiest countries in Africa in 2022

Top 10 happiest countries in Africa in 2022

Here are the top 10 cities in Africa where the most rich people live

Here are the top 10 cities in Africa where the most rich people live

Africa’s richest man Aliko Dangote poised to overtake another Russian billionaire Vladimir Lisin on Bloomberg billionaires list

Africa’s richest man Aliko Dangote poised to overtake another Russian billionaire Vladimir Lisin on Bloomberg billionaires list

These 6 countries have the highest unemployment rates in Africa

These 6 countries have the highest unemployment rates in Africa

Mzee Kibor's will made public, revealing how vast wealth and millions will be distributed

Mzee Kibor's will made public, revealing how vast wealth and millions will be distributed

Ini Edo posts new photos amid reports of welcoming a baby through surrogacy

Ini Edo posts new photos amid reports of welcoming a baby through surrogacy

Top 10 African countries with the highest corporate tax rates

Top 10 African countries with the highest corporate tax rates