Latest financial stability report revealed by the Bank of Ghana shows interest income from loans continue to be the main source of income for banks.
Cash from loans constituted 51.5 percent of total income in December 2015 compared with 45.5 percent in December 2014.
The second highest income for banks is from investments, while the remaining is from fees and commissions.
About 29.3 percent of income from banks for 2015 was from investments including treasury bills, shares and other equities. While the rest of their income making up of about 11.6 percent came from fees and commissions.
According to the report, investment income share of 29.3 percent of total income in December 2015 was marginally above the 29.2 percent recorded in December 2014.
The share of income from fees and commission however declined to 11.6 percent in December 2015 from 12.8 percent in December 2014. While banks’ investment in securities as a share of total investment decreased to 18.0 percent in December 2015 from 26.4 percent in December 2014.
Banks investment in Tbills up by 12%. Investment in treasury bills as a share of total investment however increased to 79.1 percent in December 2015 from 70.2 percent in December 2014.
Banks’ investments in shares and other equities as a share of total investment also declined to 2.9 percent as at December 2015 from 3.4 percent in the same period the previous year.