mpared with 13.4 percent growth over the previous year.

The outstanding credit to the private sector at the end of December 2018 was GH¢37,593.2 million, compared with GH¢33,987.0 million a year earlier.

Real credit growth, which excludes loans under receivership, was subdued in December 2018 compared with the previous year.

The industry’s stock of gross loans and advances, both domestic and foreign, contracted by 12.0 percent in real terms to GH¢36.54 billion in 2018 compared with the 4.2 percent contraction recorded in 2017.

Growth in private sector credit, excluding the loans under receivership, declined by 11.7 percent, year on year in 2018, after recording a modest growth of 2.3 percent in 2017.

Credit Risk

According to the survey, the banking industry’s exposure to credit risk eased in December 2018 relative to the previous year.

Further to this, it is expected that adherence of banks to the Capital Risk Directive issued in 2018 will help banks manage credit risks more effectively to reduce the level of NPLs.