Banks operating in Ghana are projecting further easing in the overall stance on loans to households, which will reflect in loans for house purchases and consumer credit.

This follows results of the December 2022 Credit Conditions Survey, indicating, a net ease in the overall credit stance on loans to enterprises in the last two months of 2022.

According to the Bank of Ghana, banks reported a net ease in the credit stance on loans to households in November and December 2022, driven by a net eased stance on consumer credit and other lending, while the stance on mortgages tightened marginally.

The December 2022 survey further indicated an increase in overall demand for all categories of enterprise loans, except SME loans.

Banks also projected an increase in the overall demand for loans in the first two months of 2023, driven by increases in demand for all categories of enterprise loans.

Credit demand by households also rose during the survey round due to increased demand for consumer credit and mortgages.

Over the next two months, banks expect a further ease in the demand for both consumer credit and loans for house purchases to drive an increase in overall demand for household loans.