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Banks in recent times have changed their focus from depending heavily on interest income to generating revenue from fee generating activities. This paper identifies and discusses some factors common with banks that engage in non-interest earning activities in Ghana. It was found that smaller banks are more involved in non-interest earning activities, relative to their larger counterparts. Higher interest income, customer deposits, exposure to risk and liquidity are also found to be common factors among banks in Ghana that concentrate more non-interest income generation. The Central Bank’s Prime rates also affect banking operations and is positively related to bank’s engagement in nontraditional activities. These results have implications for bank regulators, who must institute regulations toward harmonizing the various sources of bank income as against likely exposures to risk.

Item Type:	Refereed Article
Keywords:	Ghana, non-interest income, nontraditional activities, revenue, banks, banking
Research Division:	Commerce, Management, Tourism and Services
Research Group:	Banking, finance and investment
Research Field:	Financial institutions (incl. banking)
Objective Division:	Expanding Knowledge
Objective Group:	Expanding knowledge
Objective Field:	Expanding knowledge in commerce, management, tourism and services
UTAS Author:	Amankwaa, A (Dr Albert Amankwaa)
ID Code:	149353
Year Published:	2014
Deposited By:	Management
Deposited On:	2022-03-27
Last Modified:	2022-05-18
Downloads:	1 View Download Statistics