By Kofi AHOVI
Universal banks continue to slash down their base lending rates, in response to the reduction in the Bank of Ghana’s (BoG) policy rate which was reduced by 150 basis points from 15% to 13.5%.
The latest banks to reduce their base rates are Amalbank, Sahel Shara Bank, Zenith Bank, Unibank, HFC Bank, The Trust Bank (TTB), Standard Chartered Bank (SCB) and Stanbic Bank
Amalbank’s new base rate is 25.95% down from 27.7% representing 1.75% reduction, while Sahel Sahara Bank stands at 27.5% from 29.5% representing 2% reduction. Zenith Bank is also down to 26.5% from 28.5%, a decline of 2%. That of Unibank is also now 26.95% down from 28.75%, a reduction of 1.8% while HFC Bank has dropped its rate to 27.5% from 28.75% representing 1.25%. Stanbic’s rate is now 23.97 from 26.75%, a reduction of 2.78%. The Trust Bank now has a rate of 25% and SCB’s is 24%.
Ghana Commercial Bank (GCB), which reduced its rate by 4.25% from 27% to 22.75% in April this year, is yet to reduce its rate in consonance with the recent policy rate cut by the BoG. Deputy Managing Director, Samuel Amankwah explained that though management is yet to decide on it, the current rate is one of the lowest on the market.
Already CAL Bank has reduced its rates from 27.75% to 26%, a decline of 1.75% while United Bank for Africa (UBA) reduced its own from 27% to 25%, a 2% reduction. The new rates of the respective banks take effect from Today, August 2, 2010.
The average reduction in the base lending rates is 1.91%.
More banks are expected to reduce their base lending rate in the coming weeks.
Institutions such as the Association of Ghana Industries (AGI) and the Private Enterprise Foundation (PEF) see the reduction as boost to production, as they have consistently complained about the relatively high interest rates, despite the consistent decline in the central bank’s policy rate over the past years.
Universal banks continue to slash down their base lending rates, in response to the reduction in the Bank of Ghana’s (BoG) policy rate which was reduced by 150 basis points from 15% to 13.5%.
The latest banks to reduce their base rates are Amalbank, Sahel Shara Bank, Zenith Bank, Unibank, HFC Bank, The Trust Bank (TTB), Standard Chartered Bank (SCB) and Stanbic Bank
Amalbank’s new base rate is 25.95% down from 27.7% representing 1.75% reduction, while Sahel Sahara Bank stands at 27.5% from 29.5% representing 2% reduction. Zenith Bank is also down to 26.5% from 28.5%, a decline of 2%. That of Unibank is also now 26.95% down from 28.75%, a reduction of 1.8% while HFC Bank has dropped its rate to 27.5% from 28.75% representing 1.25%. Stanbic’s rate is now 23.97 from 26.75%, a reduction of 2.78%. The Trust Bank now has a rate of 25% and SCB’s is 24%.
Ghana Commercial Bank (GCB), which reduced its rate by 4.25% from 27% to 22.75% in April this year, is yet to reduce its rate in consonance with the recent policy rate cut by the BoG. Deputy Managing Director, Samuel Amankwah explained that though management is yet to decide on it, the current rate is one of the lowest on the market.
Already CAL Bank has reduced its rates from 27.75% to 26%, a decline of 1.75% while United Bank for Africa (UBA) reduced its own from 27% to 25%, a 2% reduction. The new rates of the respective banks take effect from Today, August 2, 2010.
The average reduction in the base lending rates is 1.91%.
More banks are expected to reduce their base lending rate in the coming weeks.
Institutions such as the Association of Ghana Industries (AGI) and the Private Enterprise Foundation (PEF) see the reduction as boost to production, as they have consistently complained about the relatively high interest rates, despite the consistent decline in the central bank’s policy rate over the past years.
Comments