The Managing Director of GCB Bank PLC, Farihan Alhassan, says the bank is focused on building a resilient and enduring franchise, following a historic financial performance in 2025.

Speaking on Channel One TV’s The Point of View with Bernard Avle on Wednesday, April 1, Alhassan underscored the significance of the bank’s achievements, describing them as unprecedented in Ghana’s banking industry.

“This is the first time any bank has made GHC2 billion net profits. It has never happened in the industry before. This is the first time a bank could have made a gross profit of GHC3.2 billion. It has never happened. We have generated a healthy operating income of GHC 6 billion. It has never happened before.

He added, “For me, the excitement is not just in the profits, it’s the total health of the franchise. We’re building a franchise that can stand the test of time.”

With these gains, Alhassan maintained that GCB Bank is not only delivering record profits but also laying the foundation for long-term sustainability and growth.

The remarks follow GCB Bank’s strong 2025 performance, with profit before tax rising to about GH¢3.2 billion, representing a 67.4 per cent increase over the previous year.

The bank’s growth was underpinned by a 19.7 per cent rise in customer deposits to GH¢41.3 billion, which supported a 23 per cent expansion of its balance sheet to GH¢52.6 billion. Loans and advances surged by 56.8 per cent year-on-year to GH¢16.39 billion, reflecting a rebound in credit demand as Ghana’s economy recovered.

Operating income also grew significantly, increasing by 40.9 per cent to GH¢6.3 billion, driven by strong performances in both interest and non-interest income streams. Interest income rose by 38.3 per cent despite a sharp decline in interest rates, supported by strategic balance sheet adjustments and proactive risk management.

Non-funded income—comprising fees, commissions, and trading income—recorded a 58 per cent increase. Fees and commissions grew by 39.9 per cent, while trading and other income surged by 81.8 per cent, raising its contribution to total revenue to 27.3 per cent from 24.3 per cent in 2024.

The bank identified this growth in non-funded income as a key strategic buffer, particularly as declining policy rates—cut by a cumulative 1,000 basis points to 18 per cent in 2025—continue to pressure traditional lending margins.

Meanwhile, operating costs rose by 41.1 per cent, broadly in line with revenue growth, leaving the cost-to-income ratio unchanged at 47.2 per cent.

Asset quality also improved markedly, with the non-performing loan ratio declining to 10.3 per cent from 15.1 per cent in 2024. The cost of risk dropped to 1.3 per cent from 4.3 per cent, contributing significantly to the bank’s record profitability.

According to the bank, this improvement was driven by tighter lending standards, enhanced early-warning systems, stronger loan recovery efforts, and improved repayment capacity among borrowers amid a stabilising economic environment.