The 2024 Financial Services Monitor published by Old Mutual has revealed that 38 percent of Ghanaians rely on family and friends, either locally or abroad, to complement their monthly income.
By this, four out of ten people depend on family and friends to sustain themselves financially.
The report attributes this trend to the Ghanaian value system of family ties and trust, known as “biako ye,” which fosters a culture of lending and financial support.
On sources of borrowing, the report showed that 23 percent of Ghanaians take loans from family or friends, while 15 percent rely on Susu, and 13 percent take loans from financial institutions.
According to the report, borrowing increased in 2024 compared to 2023, with more Ghanaians preferring trusted sources for financial support.
“Only 22 percent of Ghanaians are very confident in the Ghanaian economy, up from 17 percent in 2023, while 80 percent believe that their financial situation will improve in the next six months,” the report noted.
The report also found that fewer Ghanaians are dipping into their savings to make ends meet. In 2024, only 18 percent resorted to their savings for short-term spending, a significant drop from 61 percent in 2023.
Speaking on the purpose of the report, Group Head of Knowledge & Insights at Old Mutual Ghana, Vuyokazi Madude, explained that the Old Mutual Financial Services Monitor aims to provide a deep understanding of the working Ghanaian market, uncovering financial attitudes, perceptions, and behaviors in both the informal and formal sectors.
She emphasized that beyond enhancing financial inclusion, the report aligns with Old Mutual’s goal of championing the financial well-being of Ghanaians.