Female owned businesses secure larger loans in 2024 – BoG Report
The latest data from the Bank of Ghana’s Collateral Registry Department has revealed a significant surge in secured loans granted to female borrowers and female-owned businesses.
In the fourth quarter (Q4) of that year, secured loans granted to individual female borrowers and female-owned businesses reached 96,132, marking an 83.8 per cent increase from the 52,298 loans recorded in the Q4 of 2023.
The report revealed a notable shift in lending dominance from foreign-owned banks to domestically-owned institutions in 2024.
This growth propelled female beneficiaries’ share of total secured loans to 90.5 per cent in Q4 of 2024, up from 85.6 per cent within the same period the previous year.
Similarly, loans to male borrowers and male-owned businesses rose modestly by 14.3 per cent, from 8,782 in Q4 of 2023 to 10,037 in the same period of 4024.
However, their share of total secured loans dropped sharply to 9.5 per cent in 2024 from 14.4 per cent in 2023, in the fourth quarter, underscoring a widening gender gap in access to secured credit.
Foreign-owned banks, which previously dominated Ghana’s secured lending landscape, saw their share drop to 51.5 per cent in the Q4 of 2024 from 74.6 per cent same period in2023.
Meanwhile, domestically-owned banks more than doubled their market share, rising to 48.5 per cent in quarter four of 2024 compared to 25.4 per cent in 2023.
The Central Bank noted that the shift reflects growing competitiveness among local banks and a potential decline in foreign lenders’ risk appetite or strategic focus. The surge in secured loans to women aligns with broader national efforts to promote gender-inclusive financial policies as the government plans to set-up a Women Bank in the coming years.
