While econom­ic challenges and currency depreciation have affected major markets like South Africa and Nigeria, Ghana’s leading banks have demonstrated resilience, maintain­ing strong Tier 1 capital positions, the latest edition of The Banker’s Top 100 African Banks for 2024 has revealed.

The report, which provides insights into the performance of financial institutions across the continent, said despite economic headwinds, the top four banks in Ghana by Tier 1 capital GCB Bank, Ecobank Ghana, Standard Chartered Bank Ghana, and Absa Bank Ghana have continued to show stability.

Their ability to navigate curren­cy fluctuations and macroeconomic challenges have been critical in sus­taining confidence in the financial sector.

According to the report, Ecobank Ghana, a key player in Ghana’s banking sector, leveraged

 its pan-African presence to sustain growth. Ranking 88, while its capi­tal is $228 million.

The bank according to the re­port had focused on corporate and SME lending, which had bolstered its revenue streams, even amid cur­rency depreciation pressures.

It stated that Absa Bank, Gha­na’s innovative approach to digital banking and strong corporate banking segment, has contributed to its resilience.

The bank, the report indicat­ed, had successfully maintained a healthy capital position while navi­gating Ghana’s economic landscape ranking 92, while its capital is $216 million.

On GCB Bank the report re­vealed that the bank had remained a strong pillar of the financial system ranking 95, while its capital is $212 million

The bank’s diversified portfolio and strategic focus on digital bank­ing have helped it maintain a stable balance sheet despite economic challenges.

The report further disclosed  that Standard Chartered Bank Ghana continues to benefit from its strong risk management framework and focus on premium banking services.

Standard Chartered Bank Gha­na, ranked 100, while its capital is $168 million.

Additionally, it said while local currency depreciation had affected its balance sheet in dollar terms, its solid capital position had ensured steady profitability.

Across Africa, the report stated that profitability among ranked institutions remained buoyant, with an aggregate pre-tax profit of 18.2 per cent. However, the depreciation of local currencies has impacted balance sheets, with 52 institutions experiencing a decrease in asset bases and 41 recording a decline in Tier 1 capital.

South African banks, which account for 40 per cent of the total asset base of Africa’s Top 100 banks, have been particularly affect­ed by economic stagnation and a weakening rand.

While Standard Bank, the con­tinent’s largest lender, saw a minor improvement in its Tier 1 capital, its asset base contracted by 2.5 per cent in dollar terms.

On the outlook for Ghana’s banking sector, it revealed that with the country’s economic recovery efforts underway, its leading banks are expected to play a crucial role in stabilising the financial sector.

“Their ability to maintain solid capital positions, drive digital banking innovation, and support key sectors of the economy will be instrumental in sustaining growth. As regional challenges persist, the resilience of Ghana’s banking giants will be essential in ensuring finan­cial stability and fostering economic development in the years ahead,” the report said. africa.businessinsid­er.com