The Governor of the Bank of Ghana, Dr Johnson Asiama has stated that businesses are benefiting from low interest rates due to the bank’s monetary policy tools.
He made this statement after the Monetary Policy Committee of the Bank of Ghana announced a policy cut by 150 basis points to 14 percent.
This also comes after some business community members called for lower interest rates to support their operations.
Speaking to Journalists, Dr Asiama said the bank has been putting measures in place to cushion firms and consumers by reducing lending rates.
“With the adjustment in our policy rate, firms now have access to cheaper funding. This is a deliberate step to stimulate private sector activity and support economic growth,”
“Lower borrowing costs allow businesses to plan and invest with more certainty, which is critical for sustaining growth,” he said.
Dr. Asiama emphasized that while the cut aims to stimulate lending, the Bank of Ghana will continue to monitor inflation and external shocks, including fluctuations in global energy prices, to ensure economic stability.
“Our goal is to create an environment where businesses can thrive, while keeping inflation and financial stability under control,” he added.
The rate cut comes amid efforts by the central bank to revive credit growth, which has been subdued in recent months despite strong capital buffers and a well-capitalized banking sector.
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Source: www.myjoyonline.com
