industry is considered to be an important source of financing for most
businesses. In Ghana, the financial systems tend to
evolve around the banking system. This study therefore sought to critically
explore the key financial performance indicators in the banking industry. This
study made use of secondary data obtained from published annual reports of
Ecobank Ghana Limited from
It was found that the Key Financial
Performance Indicators for assessing the financial performance of Ecobank Ghana
which is measured using the following criteria: Return on Assets (ROA), Return on Equity (ROE) and Cost to Income Ratio
· Liquidity performance is measured using Liquid assets to
deposit-borrowing ratio (LADST), Net Loans to total asset ratio (NLTA), Net
loans to deposit and borrowing (NLDST).
· Asset Credit Quality (Credit Performance) is measured using Loan loss reserve to gross loans (LRGL).
Management of the bank should ensure that Key Performance Indicators are aligned with the specific goals and objectives of the bank.
It was recommended that key performance indicators
must be quantifiable. The goal must be stated in concise terms and capable of
being measured. A time frame must also be established for all key performance
indicators, with key checkpoints at various intervals.
Development Bank, Amalgamated Bank, Analysis of Variance, Accident Ratio, Automated teller machines, Business Activity Monitoring, Barclays Bank of
Ghana Limited, Bank of Credit and Commerce,
Bank for Housing and Construction, Cal
Merchant Bank, Credit to Deposit Ratio, Credit To
Deposit Ratio, Cash Flow, Cost
to Income Ratio, Cash in Transit Services, Customer
Loyalty, Customer Retention, Customer Satisfaction Rate, Deliver
Performance to Customer Performance,
Ecobank Ghana, Financial Result, Ghana
Commercial Bank, Gender Ratios, Internal Efficiency, Internal
Promotions, Investment Rate, Liquid
Assets to Deposit-Borrowing Ratio, Loan Loss Reserve to Gross Loans, Merchants
Bank of Ghana Limited, Post-Dated Cheque Collection, Performance
Indicators, Point of Sale, Return On Capital Employed, Return on Equity, Return on
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