IMF says Ghana's Thirteen Banks Have achieved Recapitalisation Goals by End of 2024

 

The International Monetary Fund (IMF) says the majority of the thirteen banks in Ghana that experienced capital deficiencies following the Domestic Debt Exchange Programme (DDEP) have achieved or exceeded their recapitalisation goals by the end of 2024.

The IMF in its latest Country Report on Ghana attributed the progress to strong post-Domestic Debt Exchange profitability and support from the Ghana Financial Stability Fund (GFSF).

It noted that the banks were on track to restore their Capital Adequacy Ratios (CAR) to the regulatory minimum of 13 per cent without regulatory reliefs by end-2025.

The IMF report however, noted that a handful of banks, including a state-owned lender, remained materially behind on their recapitalisation timelines.

According to the Fund, the lagging banks have been hampered by delayed capital contributions from shareholders, elevated levels of non-performing loans (NPLs), and the slow booking of credit impairments flagged in the Bank of Ghana's (BoG) 2023 asset quality reviews.