The credit-to-Gross Domestic Product (GDP) gap remained negative in the first eight months of 2026, indicating the economy is still in a low-risk credit environment.
According to the Bank of Ghana, though there has been continuous growth in credit, the growth is weaker relative to the growth in the size of the economy.
“The negative gap points to the absence of excessive credit build-up and limited systemic risks and signals room for measured credit expansion to further support the real sector of the economy”, the Bank of Ghana revealed in its October 2026 Banking Sector Development Report.
According to the Central Bank, the recovery in credit growth has been underpinned by the resilience of the banking sector, which continues to facilitate financial intermediation.
It added that the favourable macroeconomic conditions is expected to continue to sustain the recovery in private sector credit without creating stress on overall financial stability.
Macro-financial Risk Assessment Map
Meanwhile, macro-financial risk assessment showed a projected moderation in risks as at end-September 2026 compared to the same period last year.
Risks from the global macroeconomic environment eased on the back of lower inflation and easing lending conditions in advanced economies.
On the domestic front, risks moderated, reflecting the impact of a declining fiscal deficit, lower inflation and exchange rate stability as well as declining public debt.
The risks from the corporate and household sectors declined, supported by enhanced debt-servicing capacity of both the corporate and household sectors.
In the outlook, risks are expected to generally remain unchanged, however, the risk profile could shift depending on the geopolitical developments in the Middle East.
“Such global developments have implications for the domestic economy and the corporate and household sectors. That notwithstanding, the near-term outlook for the domestic economy remains favourable considering the expected low levels of inflation, strong reserve build-up and improved financing conditions”, the Bank of Ghana concluded.