• About
  • Advertise
  • Privacy Policy
  • Contact
Sunday, August 24, 2025
  • Login
The Vaultz News
  • Top Stories
  • News
    • General News
    • Education
    • Health
    • Opinions
  • Economics
    • Economy
    • Finance
      • Banking
      • Insurance
      • Pension
    • Securities/Markets
  • Business
    • Agribusiness
    • Vaultz Business
    • Extractives/Energy
    • Real Estate
  • World
    • Africa
    • America
    • Europe
    • UK
    • USA
    • Asia
    • Around the Globe
  • Innovation
    • Technology
    • Wheels
  • Entertainment
  • 20MOBPL2DNew
  • Jobs & Scholarships
    • Job Vacancies
    • Scholarships
No Result
View All Result
The Vaultz News
  • Top Stories
  • News
    • General News
    • Education
    • Health
    • Opinions
  • Economics
    • Economy
    • Finance
      • Banking
      • Insurance
      • Pension
    • Securities/Markets
  • Business
    • Agribusiness
    • Vaultz Business
    • Extractives/Energy
    • Real Estate
  • World
    • Africa
    • America
    • Europe
    • UK
    • USA
    • Asia
    • Around the Globe
  • Innovation
    • Technology
    • Wheels
  • Entertainment
  • 20MOBPL2DNew
  • Jobs & Scholarships
    • Job Vacancies
    • Scholarships
No Result
View All Result
The Vaultz News
No Result
View All Result

BoG Maintains 30% Monetary Policy Anticipating A Firm-rooted Downward Inflation

November 27, 2023
Stephen M.Cby Stephen M.C
in Economics, Economy, Sub Top Stories, Sub Top Stories1
0
Owners of Closed  Forex Bureaus May Lose Licenses Forever- BoG

Bank of Ghana

The Bank of Ghana’s Monetary Policy Committee (MPC) has acknowledged a widespread economic recovery.

Dr. Ernest Addison, the committee’s chair and governor, affirmed the commitment to sustaining this recovery. In line with this objective, the committee has opted to maintain the policy rate at 30 percent.

Dr. Addison made this announcement during the 115th MPC Press Conference held in Accra.

RelatedPosts

Inflation Pressures Ease, But August CPI Faces ‘Upside Risk’ from Base Effects

Turnover on GSE Soars by 199% as Trading Volume Jumps 192%

FirstBank Ghana Wins Hearts with Webinars on Finance, Lifestyle, and Wellness

“The committee has decided to maintain the policy rate at 30 percent until inflation is firmly anchored on a downward trend.”

Dr. Ernest Addison

He elaborated that the committee chose to maintain the policy rate at 30 percent due to the persistently high inflation rate, even though there has been a decline.

Governor 1 1
Dr. Ernest Addison

Earlier, the Government Statistician, Professor Samuel Annim, revealed a drop in the inflation rate for October 2023 to 35.2 percent, down from 38.1 percent in September 2023. This reduction in the overall inflation rate is linked to a slight decrease in food inflation, with a recorded rate of 44.8 percent, while non-food inflation stood at 27.7 percent during the same period.

Moreover, the inflation rate for domestically produced items was 34.4 percent, and for imported items, it stood at 34.4 percent, a decrease from the previous month’s 37.4 percent. In terms of regional disparities, the Eastern Region registered the highest food inflation rate, while the Upper East region reported the lowest.

Dr. Ernest Addison, the Governor of the Bank of Ghana (BoG), also indicated that Ghana anticipates a meeting of the International Monetary Fund (IMF) board before the year concludes to deliberate on the disbursement of the second tranche of the $3 billion fund. This development follows the positive review of the initial $600 million tranche.

“We expect the IMF board meeting to take place before the end of the year, which should also trigger another disbursement of foreign exchange.”

Dr. Ernest Addison

Impacts Of Monetary Policy Rate

Monetary policy is one of two tools central banks use to shape national economies. Monetary policy, is a pivotal factor in influencing borrowing costs, investments, and overall economic activity. The central bank’s adept management of these tools is instrumental in achieving macroeconomic stability and fostering an environment conducive to sustainable growth.

The primary goal of monetary policies is to maintain price stability through the control of money supply into an economy.

Oil Prices
Inflation

The effectiveness of monetary policies becomes even more critical in the context of Ghana’s developing and struggling economy, where external factors and commodity prices present unending challenges.

One notable aspect of the impact of the monetary policy rate is its effect on businesses. When the BoG adjusts the policy rate upward, it often leads to increased lending rates. This, in turn, raises borrowing costs for businesses, particularly those heavily reliant on debt financing. The repercussions extend to consumer spending, as higher interest rates may result in reduced consumer expenditures, affecting businesses dependent on robust consumer demand.

Notably, higher interest rates can attract foreign capital, impacting exchange rates and potentially contributing to a stronger local currency. While this can benefit businesses engaged in international trade, it may pose challenges for others.

Small and medium-sized enterprises (SMEs), often characterized by less financial flexibility, are particularly sensitive to changes in interest rates. Higher rates could challenge their financial sustainability, impacting their operations and growth plans.

In a clear indication of economic contraction, the Bank of Ghana seeks to maintain a firm-rooted downward inflation through the reduction of money supply in the economy. This is critical as the country heads for the festive season, an election year, and the second tranche of the IMF support program.

READ ALSO: Speaker Of Parliament Coronated As Nana Adasowko I

Tags: Bank of GhanaDr Ernest AddisoninflationMonetary policyMonetary Policy Committee
Please login to join discussion
Previous Post

BOST Denies Importing Manganese-laden Gasoline Under G4Oil Policy

Next Post

30 Years Of Work Gone Down The Drain

[mc4wp_form id="1264"]

Related Posts

Inflation Pressures Ease, But August CPI Faces ‘Upside Risk’ from Base Effects
Economy

Inflation Pressures Ease, But August CPI Faces ‘Upside Risk’ from Base Effects

August 24, 2025
NDC Defends Fuel Allowance Ban Amidst NPP ‘Settings’ Criticism
General News

Tamale Central By-Election: 12 NDC Aspirants Remain in Race

August 24, 2025
Ayra Starr Attributes Latest Song To New Mindset
Entertainment

Ayra Starr Attributes Latest Song To New Mindset

August 24, 2025
Executive Director of Africa Education Watch (Eduwatch), Kofi Asare
Education

BECE Malpractice Surges in 2025, Eduwatch Raises Alarm 

August 24, 2025
Kemi Badenoch Opens Up On Racism Faced
UK

Kemi Badenoch Opens Up On Racism Faced

August 24, 2025
Lands Ministry Insists Fight Against Galamsey Under Control, Not Overwhelmed 
Extractives/Energy

Lands Ministry Insists Fight Against Galamsey Under Control, Not Overwhelmed 

August 24, 2025
Inflation Pressures Ease, But August CPI Faces ‘Upside Risk’ from Base Effects
Economy

Inflation Pressures Ease, But August CPI Faces ‘Upside Risk’ from Base Effects

by Stephen M.CAugust 24, 2025
NDC Defends Fuel Allowance Ban Amidst NPP ‘Settings’ Criticism
General News

Tamale Central By-Election: 12 NDC Aspirants Remain in Race

by Silas Kafui AssemAugust 24, 2025
Ayra Starr Attributes Latest Song To New Mindset
Entertainment

Ayra Starr Attributes Latest Song To New Mindset

by Esther Korantemaa OffeiAugust 24, 2025
Executive Director of Africa Education Watch (Eduwatch), Kofi Asare
Education

BECE Malpractice Surges in 2025, Eduwatch Raises Alarm 

by Evans Junior OwuAugust 24, 2025
Kemi Badenoch Opens Up On Racism Faced
UK

Kemi Badenoch Opens Up On Racism Faced

by Lawrence AnkutseAugust 24, 2025
Lands Ministry Insists Fight Against Galamsey Under Control, Not Overwhelmed 
Extractives/Energy

Lands Ministry Insists Fight Against Galamsey Under Control, Not Overwhelmed 

by Prince AgyapongAugust 24, 2025
Inflation Pressures Ease, But August CPI Faces ‘Upside Risk’ from Base Effects
NDC Defends Fuel Allowance Ban Amidst NPP ‘Settings’ Criticism
Ayra Starr Attributes Latest Song To New Mindset
Executive Director of Africa Education Watch (Eduwatch), Kofi Asare
Kemi Badenoch Opens Up On Racism Faced
Lands Ministry Insists Fight Against Galamsey Under Control, Not Overwhelmed 
[/vc_row_inner]

Recent News

  • Inflation Pressures Ease, But August CPI Faces ‘Upside Risk’ from Base Effects
  • Tamale Central By-Election: 12 NDC Aspirants Remain in Race
  • Ayra Starr Attributes Latest Song To New Mindset
  • BECE Malpractice Surges in 2025, Eduwatch Raises Alarm 
  • Kemi Badenoch Opens Up On Racism Faced
The Vaultz News

Copyright © 2021 The Vaultz News. All rights reserved.

Navigate Site

  • About
  • Advertise
  • Privacy Policy
  • Contact

Follow Us

Welcome Back!

Login to your account below

Forgotten Password?

Retrieve your password

Please enter your username or email address to reset your password.

Log In
No Result
View All Result
  • Top Stories
  • News
    • General News
    • Education
    • Health
    • Opinions
  • Economics
    • Economy
    • Finance
      • Banking
      • Insurance
      • Pension
    • Securities/Markets
  • Business
    • Agribusiness
    • Vaultz Business
    • Extractives/Energy
    • Real Estate
  • World
    • Africa
    • America
    • Europe
    • UK
    • USA
    • Asia
    • Around the Globe
  • Innovation
    • Technology
    • Wheels
  • Entertainment
  • 20MOBPL2D
  • Jobs & Scholarships
    • Job Vacancies
    • Scholarships

Copyright © 2021 The Vaultz News. All rights reserved.