The Bank of Ghana (BoG) is urging borrowers to strictly honour their loan repayment commitments and ensure that credit facilities are used for their intended purposes, stressing that responsible borrowing is vital to strengthening the country’s financial sector.
The call follows the Central Bank’s May 2025 Economic and Financial Data Summary, which shows that the industry’s non-performing loans (NPL) ratio increased to 23.6% in April, up from 23.4% in March — a development BoG says poses risks to financial stability.
Speaking at a sensitisation programme on the Borrowers and Lenders Act for members of the Ghana National Chamber of Commerce and Industry (GNCCI), Second Deputy Governor Matilda Asante-Asiedu emphasised that timely repayments and disciplined use of credit were essential to maintaining a resilient financial system.
“With increased access clearly comes greater responsibility and accountability. Borrowers must understand the agreements they sign, which is why this workshop is important,” she said.
She cautioned borrowers against diverting loans for personal expenses, stressing that credit should boost business growth to generate returns.
“The idea is not to take the loan to buy the next beautiful car, but to invest it in the business. If you put the loan into the business, the probability of generating more income — and eventually being able to buy that beautiful car — is very high,” she added.
President of the GNCCI, Stephane Miezan, welcomed the sensitisation effort but urged the Central Bank to further improve credit accessibility for businesses, especially as interest rates continue to decline.
“The challenge is not just interest rates coming down. It is also access to finance, because if something is cheap but you cannot get it, then it’s a zero-sum game,” he said.
He appealed to the BoG to pair its efforts at reducing borrowing costs with measures that ensure businesses can actually obtain the funds needed to expand and remain competitive.
#BankOfGhana #BoG #Loans #LoanRepayment #NPL #NonPerformingLoans #FinancialSector #GhanaEconomy #BorrowersAndLendersAct #GNCCI #MatildaAsanteAsiedu #StephaneMiezan #AccessToCredit #BusinessFinance #GhanaNews #Nzemaxpress
0 Comments