Ghana Central Bank Cuts Interest Rate to 14 Percent
Ghana lowered its interest rate to 14 percent today as inflation remains low. The central bank continues its easing cycle despite risks from the Middle East.
The central bank of Ghana has implemented its fifth consecutive interest rate cut, reducing the monetary policy rate by 150 basis points to 14%. This decision brings the rate to half its level at the beginning of the easing cycle in July 2025. The reduction was more significant than the 14.5% rate anticipated by economists, as policymakers cited a favorable domestic environment and low inflation as key drivers for the move.
The central bank's decision comes amid heightened geopolitical risks, particularly the conflict involving the United States, Israel, and Iran. While these tensions have caused crude oil prices to surge, the Bank of Ghana remains focused on its internal recovery. Governor Johnson Asiama noted that the current economic climate provided sufficient scope for the cut.
