Ghana's banks face profitability test as falling interest rates force business model shift - PwC
PricewaterhouseCoopers (PwC) Ghana unveiled the findings of its 2026 Ghana Banking Survey under the theme, "When Rates Recede: Sustaining and Returning Value in Ghana's Banking Sector Through a Falling Interest Rate Cycle." The survey warns that while lower interest rates are expected to stimulate borrowing and support economic growth, they also threaten banks' traditional earnings model by compressing net interest margins. It argues that banks must urgently diversify their revenue streams and embrace digital, transaction-driven business models to sustain profitability.
The findings were presented at PwC's 2026 Ghana Banking Forum, attended by chief executive officers, chief financial officers, representatives of the Ghana Association of Banks (GAB), the Bank of Ghana (BoG), and other key stakeholders. Vish Ashiagbor, Country Senior Partner at PwC Ghana, stated, "The macroeconomic stabilization we witnessed in 2025 is a welcome relief, signaling a strong recovery path. However, for commercial banks, this success brings a unique challenge. We are transitioning from a high-interest-rate environment that cushioned margins to an easing cycle that will test corporate resilience. This next phase must be driven by deep, deliberate banking transformation."
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Ghana's banking sector faces a significant shift as stabilizing macroeconomic conditions, including easing inflation and declining interest rates
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