- Republic Bank Ghana Profit Falls 16.68% Despite Assets Rising To GH¢12.00 billion
Republic Bank Ghana PLC recorded a decline in half-year profit for the period ended June 30, 2026, even as the bank expanded its balance sheet, strengthened deposits and improved key prudential indicators.
The bank’s unaudited financial statements show that group profit for the period fell to GH¢107.47 million from GH¢128.99 million in the corresponding period of 2025, representing a decline of 16.68%. On a standalone basis, the bank’s profit dropped by 25.58% to GH¢84.08 million from GH¢112.99 million.
Profit before tax also weakened, with group profit before tax falling by 22.85% to GH¢152.52 million from GH¢197.69 million. For the bank alone, profit before tax declined by 32.11% to GH¢118.81 million from GH¢175.01 million.
The weaker earnings came despite continued balance sheet expansion. Group total assets rose by 28.70% to GH¢12.00 billion from GH¢9.32 billion a year earlier, while the bank’s standalone assets increased by 28.68% to GH¢11.93 billion from GH¢9.27 billion.
The results point to a bank that is growing in scale but facing pressure on earnings generation, particularly from lower net interest income and weaker trading income.
Group net interest income declined by 10.86% to GH¢318.54 million from GH¢357.37 million, while the bank’s standalone net interest income fell by 11.88% to GH¢294.50 million from GH¢334.19 million. This followed a fall in both interest income and interest expense, suggesting a lower-yielding interest environment or portfolio repricing during the period.
Interest income for the group declined by 16.63% to GH¢520.59 million from GH¢624.46 million, while interest expense fell by 24.35% to GH¢202.05 million from GH¢267.09 million. The fall in funding cost was not enough to offset the decline in interest earnings.
Fees and commissions, however, provided some support. Group net fee and commission income rose by 27.31% to GH¢98.02 million from GH¢76.99 million, while the bank’s standalone net fee and commission income increased by 30.82% to GH¢58.35 million from GH¢44.60 million.
Net trading income declined to GH¢30.95 million from GH¢36.30 million, representing a drop of 14.74%. Group operating income also fell by 5.27% to GH¢468.33 million, while standalone operating income declined by 8.50% to GH¢396.43 million.
Operating cost pressure remained visible. Group personnel expenses rose to GH¢166.80 million from GH¢157.52 million, while the bank’s personnel expenses increased to GH¢141.53 million from GH¢130.77 million. Depreciation and amortisation also increased, while other expenses remained above GH¢100.00 million at group level.
The bank’s balance sheet expansion was supported by strong deposit mobilisation. Group deposits from customers rose by 34.27% to GH¢7.98 billion from GH¢5.94 billion, while the bank’s standalone customer deposits increased by 35.69% to GH¢8.18 billion from GH¢6.03 billion.
Loans and advances to customers also expanded significantly, rising by 31.53% to GH¢3.83 billion from GH¢2.91 billion. That growth suggests Republic Bank Ghana continued to expand credit to customers despite a more cautious industry environment.
The bank’s liquidity position strengthened sharply. Its liquidity ratio increased to 196.91% in 2026 from 121.23% in 2025, while its capital adequacy ratio improved slightly to 19.17% from 18.89%.
Asset quality also improved. Republic Bank Ghana’s non-performing loan ratio declined to 13.03% from 16.92%, representing an improvement of 3.89 percentage points. This is a positive signal, particularly at a time when asset quality remains a major concern across parts of Ghana’s banking industry.
The bank reported no defaults in statutory liquidity and no statutory liquidity sanctions for both 2026 and 2025.
Total equity also strengthened, with group equity rising by 18.89% to GH¢1.41 billion from GH¢1.18 billion. Equity attributable to shareholders of the bank stood at GH¢1.37 billion at group level and GH¢1.28 billion on a standalone basis.
The statement of changes in equity shows that the bank paid dividends of GH¢42.60 million during the period, while group total comprehensive income stood at GH¢107.47 million.
For investors, the half-year numbers present a mixed picture. Republic Bank Ghana is clearly expanding its asset base, growing deposits and improving liquidity and asset quality. But profitability has weakened, mainly because income growth has not kept pace with the pressure on net interest earnings and operating costs.
The key issue for the second half of the year will be whether the bank can convert its larger balance sheet into stronger earnings. That will require improved asset yields, tighter cost control, stronger fee income and sustained progress in reducing non-performing loans.
The bank’s stronger capital and liquidity buffers provide room for stability, but the decline in profit shows that balance sheet growth alone is not enough. The next test will be earnings efficiency.
