The Bank of Ghana (BoG) has maintained the Monetary Policy Rate (MPR) at 14 per cent following the conclusion of the 131st Monetary Policy Committee (MPC) meeting, citing rising global uncertainties and inflation risks despite improving domestic economic conditions.
Announcing the Committee’s decision at a press briefing in Accra, the Governor of the Bank of Ghana and Chairman of the MPC, Dr Johnson Pandit Asiama, said members unanimously agreed to keep the benchmark policy rate unchanged.
“The Committee, by a unanimous decision, decided to maintain the Monetary Policy Rate at 14.0 per cent.”
Dr Asiama explained that although economic growth has remained resilient, private sector credit has strengthened, and inflation has stayed below the lower bound of the Bank’s medium-term target band, the Committee considered it prudent to maintain the current monetary policy stance.
“The current policy rate remains appropriate to guide inflation towards the Bank’s medium-term target band while allowing policymakers time to assess evolving global risks.”
According to the Governor, escalating geopolitical tensions in the Middle East, rising crude oil prices, and the possibility of upward adjustments in utility tariffs continue to pose upside risks to Ghana’s inflation outlook.
“Potential upward adjustments in utility tariffs, together with escalating geopolitical tensions in the Middle East and the associated increase in crude oil prices, present upside risks to the inflation outlook.”
The Committee also indicated that it would continue to monitor both domestic and global economic developments before making any future decisions on the benchmark policy rate as it seeks to preserve price stability and support sustainable economic growth.
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Story by JisLord Ablorh | univers.ug.edu.gh
Edited by Gabriel Tecco Mensah
