Policy interventions by the Bank of Ghana including the Monetary Policy have been described as key in stabilising prices and keeping interest rates relatively low despite the impact of covid -19 on the economy.
According to Senior Partner at KPMG, Anthony Sarpong, economic growth generally after a pandemic slows down, but the policy interventions by the Central Bank in stimulating demand and supply in the economy has played a key role in supporting growth.
He told Joy Business that the Central Bank has done well in supporting the economy in this time of difficulty
If I take it from the monetary point of view from the Bank of Ghana, you will notice that they [BoG] have fairly manage the exchange rate well.”
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For a long time, the Ghana cedi has stabilised and even in its [BoG] last report appreciated against the dollar and of course a little marginally against the British Pound.
Read also: Policy rate maintained at 14.5%
That means that as an economy that depends on import substitution, the stability of the prices will remain fairly stable and that helps our traders and businessmen.
The Monetary Policy Committee of the Bank of Ghana has been meeting since Wednesday 21th July 2021 to review developments in the Ghanaian economy.
The MPC is likely to keep its key lending rate same at 13.50% as the economy recovers from Covid-19. The Committee had cut down the base lending rate by 1% in the last meeting in May 2021.
The reduction in the Central Bank’s key lending rate was targeted at stimulating economic activity through lending.
Since the reduction in the policy rate, lending rates have trickled down albeit slightly.
[…] Read also: BoG policy interventions key to price stability, lower interest rates-KPMG Senior partner […]