Based on the provided data for forecasted total non-performing loans (NPLs) in Ghana from 2024 to 2028, there is a consistent year-on-year increase in values. The NPL value stands at 22.61 in 2024 and is expected to escalate to 24.77 by 2028. Comparing the year-on-year percentage change, the figures show incremental rises of approximately 2.5% to 2.6% annually. This gradual increase signals a growing challenge in the banking sector concerning loan performance.
Considering the compound annual growth rate (CAGR) over the five-year period reveals an average annual growth rate of around 2.5%. Notably, the NPL value stood at 22.61 in 2023, marking the start of this analysis period.
Future trends to watch for include:
• Economic conditions: Instability may lead to higher NPLs.
• Regulatory changes: Modifications in banking regulations could impact loan performance.
• Financial sector reforms: Initiatives aimed at improving the robustness of the banking sector could affect NPL trends.