The Bank of Ghana’s Monetary Policy Committee (MPC) has maintained the policy rate at 29.5%. It stated the major justification for the unaltered rate, which is the rate at which it lends to commercial banks, as a decrease in inflation.
It is anticipated that the cost of credit will remain high, with the average loan rate coming in at roughly 31.5%. The Bank of Ghana will continue tightening monetary policy until inflation is on a firmly falling path, the International Monetary Fund (IMF) announced last week.
The Fund claims that the programme’s monetary and exchange rate strategies will be centred on taming inflation and restoring foreign reserve buffers. The policy rate has increased by 10.5% since July 2022.
