GCB Bank offered the cheapest loans to household consumers, the latest Annualized Percentage Rates by the Bank of Ghana has revealed.
It offered a rate of 27.71% and 27.21% to clients for a period of one year and three years.
Stanbic Bank (50.92%) and Bank of Africa (43.83%), however, charged the expensive rates for a tenor of one and three years respectively.
For a duration of five years, Fidelity Bank offered the lowest interest rate of 26.64% on loans to customers. It was followed by GCB Bank with a lending rate of 27.04%.
Similarly, Absa Bank offered the lowest loans to Small and Micro Enterprises (SMEs) customers for a period of one and three years. Its interest rate was 17.03%.
Concerning a tenor of facility for five years, Fidelity Bank charged the lowest rate of 24.44% for SMEs.
Stanbic Bank (50.27%) and Fidelity Bank (55.27%), however, offered the most expensive loans to customers.
In terms of loans to corporates, OmniBSIC offered the cheapest competitive rate of 33.68% for a tenor of facility of one year and three years respectively.
Access Bank charged the lowest rate of 30.58% to customers for a duration of five years.
ADB, however, the most expensive loans of 45.94%, 45.94% and 47.51% respectively for the one, three and five years.
According to the Bank of Ghana, the APR reflects the true cost of a loan that economic agents are confronted with when they go through an approval process to secure a loan facility. It comprises the Ghana Reference Rate, bank-specific risk-premia and other bank-specific charges.
It added that the APRs reported in this table are indicative.
However, a typical customer of a bank may be faced with an actual APR different from these indicative APRs, depending on the bank’s assessment of the borrower’s specific circumstance.
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