Ghana’s ADB posts GH¢301.7m profit with 66.3% non-performing loan ratio

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Editorial responsibility: Paul Arnaud DEGUENON, journalist and business development expert.

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The listed bank lifted nine-month earnings by 6.9% and raised its capital adequacy ratio to 27.41%, though troubled loans remain a major concern.

Ghana’s Agricultural Development Bank (ADB), which is listed on the Ghana Stock Exchange, reported net profit of GH¢301.71 million for the nine months ended September 30, 2026, up 6.9% from a year earlier. Its unaudited financial statements also showed that non-performing loans accounted for 66.32% of gross loans, compared with 70.13% a year before.

The bank attracted more customer funding as deposits rose 19.5% to GH¢15.36 billion from GH¢12.85 billion at September 2025. Loans and advances to customers, however, declined from GH¢2.36 billion to GH¢2.12 billion. Total assets reached GH¢20.28 billion, up from GH¢16.22 billion a year earlier.

Stronger capital buffers alongside persistent credit risk

ADB’s regulatory capital adequacy ratio increased to 27.41% from 0.49%, while shareholders’ equity grew from GH¢1.56 billion to GH¢2.76 billion. Its liquidity ratio also improved, rising from 130% to 145.83%.

Alongside that stronger balance sheet, the non-performing loan ratio eased by 3.81 percentage points. At 66.32%, the share of troubled loans nevertheless remains a major issue for the quality of the bank’s credit portfolio. In its filing, ADB recalled that Ghana’s government contributed GH¢850 million as a deposit for shares in 2025, helping to rebuild its capital position.

Profit rises even as interest income declines

Interest income fell from approximately GH¢1.48 billion to GH¢1.23 billion. The bank also cut interest expenses from GH¢565.38 million to GH¢361.34 million, while impairment charges on loans and advances declined from GH¢49.84 million to GH¢13.17 million. Its results further included a GH¢40 million impairment reversal on investment securities.

Profit before tax consequently reached GH¢478.53 million, compared with GH¢447.49 million in the first nine months of 2025. Earnings per share increased to GH¢0.18 from GH¢0.17. For a bank with deep roots in agricultural finance, the combination of rising deposits, stronger capital and a still substantial stock of troubled loans is central to its latest results.

Stronger capital buffers alongside persistent credit risk

Profit rises even as interest income declines

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