Bank of Ghana’s MPC begins crucial meeting to review Economic Outlook

The Bank of Ghana’s Monetary Policy Committee (MPC) will commence its 123rd meeting today to assess economic conditions and implement measures to maintain financial stability.

This three-day meeting, the first under newly appointed Governor Dr. Johnson Asiamah, will conclude with a key policy announcement on Friday, March 28, 2024.

The MPC last held the policy rate at 27% in January 2025, citing persistent inflationary pressures. However, the Central Bank now faces a more complex decision, as inflation remains high, and debt concerns persist among other economic issues.

For over two years, inflation has hovered in the low twenties, recording 23.2% in 2023 and 23.8% in 2024, with the latest rate standing at 23.1% as of February 2025. Meanwhile, Treasury bill rates have been steadily declining, raising concerns about liquidity management and investor confidence in government securities.

With the government targeting an end-of-year inflation rate of 11.9% and a 4.4% overall real GDP growth target, businesses, investors, and economic analysts are eager for signals on potential interest rate adjustments and other monetary policy interventions that could shape the economic landscape.

As the committee deliberates, the key question remains: Will the Bank of Ghana maintain its cautious stance in the face of underlying inflationary pressures and global economic uncertainties, or will it pivot towards policies that support economic growth amid ongoing financial pressures?