Business News Wed, 3 Apr 2019

Policy rate still 16% - BoG

The Bank of Ghana (BoG) has kept the monetary policy rate at 16 percent.

The policy rate is the rate at which the Central Bank lends money to the commercial banks.

Governor of the Bank of Ghana (BoG), Dr. Ernest Addison, told journalists at a press conference on April 1, 2019 that the Bank took the decision to maintain the rate.

It would be recalled that in January 2019, BoG reduced the rate to 16 percent, representing a 100 basis points.

That was after the rate was reduced by 200 basis points in March 2018 from 20 percent to 18 percent.

The bank said at the time that the immediate risks to the disinflation path were well contained and the conditions then providing scope to translate some of the gains in the macro stability to the economy

The governor told the press that the committee would closely monitor developments in the coming months.

He added that “the committee would not hesitate to take immediate and decisive policy actions, including on a tighter monetary policy stance should these risks materialize and threaten to dislodge the disinflation process.”

Source: Dailyguidenetwork.com
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