The Bank of Ghana has reported that in 2023, an average of 21.2 million loan records were submitted monthly to credit bureaux by data providers, marking a dramatic 455 percent increase from the 3.8 million records submitted in 2022.

This revelation was included in the Central Bank’s 2023 Annual Credit Activity Report.

Notably, 99 percent of these submissions involved data on individual borrowers, underscoring a shift towards consumer lending. The surge is primarily attributed to the improved reporting of digital loan data to credit bureaux.

Savings and loan companies, along with finance houses, led in submitting individual loan data, surpassing both banks and microfinance institutions. However, in the business loan segment, banks dominated, contributing 67.6 percent of all business-related submissions—a trend that has remained consistent in recent years.

While rural banks and microfinance firms showed a notable increase in individual loan submissions, they reported a decline in business loan data. This shift highlights a growing focus among specialized deposit-taking institutions (SDIs) on payroll and digital loans rather than traditional business lending.

In response to the ongoing issue of dud cheques, the Bank of Ghana has intensified its public education campaigns. The initiative aims to inform customers about the severe consequences of issuing dishonoured cheques, which can adversely affect their ability to secure future loans.

Offenders face stiff penalties, including being barred from accessing credit or issuing cheques for up to three years.