Republic Bank, UBA and GCB Bank offered the cheapest loans for household consumers for a period of one year, the September 2021 Annual Percentage Rates (APR) by the Bank of Ghana has revealed.

Whilst GCB offered an indicative rate of 22.50% to household consumers for a tenor of one year, Republic Bank and UBA charged rates of 22.64% and 22.66% respectively.

On the other hand, Bank of Africa, Stanbic and CalBank PLC offered the highest cost of credit of 29.84%, 29.97% and 30.27% respectively.

For tenors of up to five years, Republic Bank, UBA and Zenith Bank provided the lowest lending rates for household consumers. They charged rates of 22.64%, 22.66% and 22.76% respectively.

Conversely, CalBank, Bank of Africa and First Atlantic Bank offered the expensive rates of 29.06%, 29.84% and 33.0% respectively.

In terms of loans to Small and Medium Scale Enterprises, First National Bank, UBA and UMB offered the least lending rates of 19.52%, 19.96% and 21.80% respectively for one year tenor.

Those offering the expensive rates are First Atlantic Bank, Societe Generale and CalBank. They charged rates of 28.95%, 29.50% and 30.38% respectively.

For facilities that travel for five years, UBA, NIB and Zenith Bank offered the lowest rates of 19.96%, 22.44% and 22.60% respectively.

However, Bank of Africa (28.47%) and Societe Generale (29.50%) charged the most expensive rates for the five year tenor.

Regarding loans to corporate institutions with a tenor of one year, Societe Generale, Stanbic and First National Bank offered the cheapest loans. They charged 15.60%, 16.48% and 18.71% respectively.

On the other hand, Consolidated Bank Ghana (26.22%) and CalBank PLC (26.33%) charged the highest rates.

With respect to the five years tenor, Ecobank Ghana (17.67%), Societe Generale (20.10%) and Agricultural Development Bank (20.25%) offered the lowest rates of credit to corporate organisations.

The Bank of Ghana said APR reflects the true cost of a loan that economic agents are confronted with when they go through an approval process to secure credit. It comprises the Ghana Reference Rate, bank specific risk-premia and other bank specific charges