Total deposits in Ghana’s banking sector reached GH¢302.0 billion at the end of October 2025, according to the November 2025 Banking Sector Development Report, though growth has slowed significantly compared with the previous year.
Year-on-year deposit growth moderated to 8.9% in October 2025, down sharply from 38.7% in October 2024. The slowdown was largely driven by domestic deposits, which remained the mainstay of the banking system, even as foreign currency-denominated deposits, when converted into cedi terms, contracted by 21.1% to GH¢71.3 billion. This contrasted with a 39.8% expansion in the same period last year and largely reflected the appreciation of the Ghana cedi over the period, which eroded the value of dollar and euro deposits.
The report also highlighted the resilience of banks’ capital base. Shareholders’ funds, comprising paid-up capital and reserves, rose by 41.0% to GH¢53.5 billion, a moderation from the 49.5% growth recorded in October 2024. The capital growth was supported by strong industry profitability and selective recapitalisation initiatives, as banks continued to strengthen their balance sheets and meet regulatory requirements.
Economists say the moderation in deposit growth has important economic implications. Slower deposit expansion may constrain banks’ ability to fund lending growth, potentially limiting credit flows to households and businesses. Combined with the impact of currency appreciation, the contraction of foreign currency deposits could also affect banks’ capacity to support foreign trade transactions and international financing arrangements.
At the same time, the increase in shareholders’ funds signals that Ghanaian banks are becoming better capitalised and more resilient to potential shocks. Stronger capital positions enhance investor confidence and provide banks with the buffer needed to absorb losses, support new lending, and weather economic volatility. Analysts note that while deposit growth has slowed, the cedi appreciation could reduce inflationary pressures, stabilising the real value of savings and potentially encouraging domestic investment.
The banking sector’s performance also reflects broader economic trends. Ghana’s economy has faced a combination of fiscal pressures, currency volatility, and external shocks, which have influenced depositor behaviour. The appreciation of the cedi, while beneficial for controlling import costs and easing inflation, has reduced the attractiveness of foreign currency holdings for some depositors. Domestic deposit growth, though slower, underscores the continuing reliance on local currency deposits as the primary source of funding for the banking system.
Looking ahead, policymakers and industry stakeholders are likely to monitor these trends closely. A sustained slowdown in deposit growth could require banks to adopt more innovative deposit mobilisation strategies, improve interest rate competitiveness, and expand financial inclusion initiatives. Simultaneously, maintaining strong capitalisation will be key to supporting lending growth, especially to sectors critical for economic recovery and development.
In conclusion, Ghana’s banking sector remains solid but faces headwinds. Deposits continue to grow, albeit more moderately, while strong capital positions and profitability underpin resilience. The cedi’s appreciation, while moderating foreign currency deposit levels, may stabilise the broader macroeconomic environment, offering opportunities for banks to consolidate their domestic funding base and support sustainable credit expansion.
