GCB Bank PLC recorded a profit before tax of GHS 1.91 billion for the first half of 2026. This figure marks a significant 45.8% increase compared to the same period last year. The bank's strong performance comes despite a challenging banking environment in Ghana.
Profit after tax also saw a substantial rise, increasing by 46.4% to GHS 1.23 billion. Operating income for the period grew by 36.1%, reaching GHS 3.73 billion. These results highlight the bank's resilience amid declining interest rates and tighter lending margins across the industry.
This strong showing by GCB Bank PLC occurs as Ghana's banking sector navigates lower Treasury Bill yields and a reduced Ghana Reference Rate (GRR). These factors typically put pressure on banks' traditional interest income. The broader economic context includes efforts by the Bank of Ghana to manage inflation and stabilize the cedi, which impacts lending and investment decisions.
Farihan Alhassan, the Managing Director of GCB Bank PLC, noted the bank's ability to reduce interest expenses significantly. Interest expense decreased by 28.9% to GHS 564.7 million, even as interest income modestly increased by 4.1% to GHS 2.91 billion. This strategic management of costs allowed net interest income to grow by 17.3% to GHS 2.34 billion, offsetting the impact of narrowing interest margins.
A key driver of GCB Bank's success was the robust growth in non-interest income, indicating a successful diversification of earnings. Net fee and commission income nearly doubled, surging by 98% to GHS 658.7 million. Trading income also saw a substantial increase of 76.8%, reaching GHS 701.9 million. Total non-funded income rose by approximately 86% to GHS 1.39 billion, now accounting for 37.3% of operating income, up from 27.2% in 2025.
The bank attributed this improvement to increased customer transactions, fees, commissions, and trading activities. This shift reduces reliance on interest income as market rates soften. Operating efficiency also improved, with personnel, depreciation, and other operating expenses increasing by 20.5%. This growth was well below the increase in operating income, leading to an improved cost-to-income ratio of 43.7% from 49.4%.
GCB Bank also demonstrated strong balance sheet growth, supported by higher customer deposits. Customer deposits increased by 24.5% from December 2025 to GHS 51.49 billion. This provided the funding for total assets to expand by 28.7% to GHS 67.43 billion. Net loans and advances grew by 35.4% to GHS 22.19 billion, while investment securities rose by 31.1% to GHS 21.44 billion.
Asset quality significantly improved, with the non-performing loan ratio declining to 4.7% from 13.8% a year earlier. This figure is well below the banking industry's average of 16.1%. The bank maintained a strong capital position, with a capital adequacy ratio of 15.9%, exceeding the regulatory minimum of 13%. Shareholders' equity increased by 16.8% to GHS 7.02 billion. Robust liquidity, with a liquidity ratio of 69.8%, provides a strong buffer for future growth.