Business News Wed, 26 Mar 2003

Bank of Ghana reviews Prime Rate

THE Bank of Ghana has reviewed the Prime Rate from 25.5 per cent to 27.5 per cent.

This rate is the base rate that commercial and investment banks can borrow from the Central Bank.

According to the Governor of the Bank of Ghana, Dr Paul Acquah, given the balance of risks in the monetary activities, the Monetary Policy Committee (MPC) has decided to review upwards the rate.

Dr Acquah announced this at the MPC periodic press briefing in Accra yesterday.

He said the downside risk in the macro-financial outlook lies in the financing of the budget and that the projected level of financing is heavily dependent on donor inflows. He said pace and timing are normally uneven and uncertain.

Source: gna