The total value of secured loans granted and registered by banks and Specialized Deposit-Taking Institutions in the second quarter of 2023 was estimated at ¢5.9 billion, a growth of 15.5% over the previous year.

According to the second quarter Collateral Registry Report by the Bank of Ghana, banks accounted for ¢4.9 billion of total secured loans in the second quarter of 2023, representing a 14.8% increase recorded during the same period in 2022. The banks share of secured loans was 83.7% of the total secured loans.

On the other hand, the Specialized Deposit-Taking Institutions recorded a total amount of ¢971.1 million of secured loans representing a share of 16.5% and an increase of 19.1% from the ¢815.0 million recorded during the same period in 2022.

Banks registered largest share of secured loans

Banks registered the largest share of the total value of secured loans in the second quarter, with 83.7%.

The share of secured loans by Savings and Loans companies increased to 9.8% as compared to the same quarter in 2022 while that of Finance Houses dropped to 0.3% from 0.8% in second quarter of 2022.

The share of secured loans by Microfinance Companies increased to 1.1%, from 0.9% during the same period last year.

Total number of collateral registrations hits 50,695

Meanwhile, the total number of collateral registrations recorded for the second quarter of 2023 was 50,695, a 15.5% growth.

This is compared to 43,861 registrations in the same quarter of 2022, representing 15.6% year-on-year growth.

A breakdown of the registrations across various categories of lenders showed that Savings and Loans Companies dominated with 39,796 registrations in second quarter of 2023, indicating an increase of 23.8% from the 32,147 registrations recorded in the second quarter of 2022.