Bank of Ghana cuts policy rate to 14 percent amid improving domestic conditions
Date: 2026-03-19
By: Nana Appiah Acquaye
The Bank of Ghana’s Monetary Policy Committee has announced a 150-basis-point reduction in the policy rate, bringing it down to 14 percent. The decision was communicated by Governor Dr. Johnson Asiama, who chairs the Committee.
Dr. Asiama said the move
reflects continued improvements in domestic macroeconomic conditions during the
first two months of the year. He noted, however, that rising geopolitical
tensions in the Middle East have increased uncertainty in the external sector.
The Governor added that the
Bank’s latest forecasts indicate headline inflation is expected to remain
within the medium-term target, though risks remain from potential pass-through
effects of higher crude oil prices and escalating geopolitical tensions.
Despite these external
risks, the Committee concluded that favourable domestic conditions and high
prevailing real interest rates provide room to ease the policy rate. The Bank
of Ghana reaffirmed its commitment to maintaining price stability while supporting
economic recovery.
