The Monetary Policy Committee (MPC) of the Bank of Ghana will today commence its regular meetings to review developments in the economy.
This meeting which is the 112th, will end with a press conference on Monday, 22nd May, 2023.
The meeting will also end with a decision on the appropriate positioning of the Central Bank’s policy rate which commercial banks use to determine their base rates.
After the last MPC meeting in March, the policy rate was increased by 150 basis points to 29.5 percent. Governor of the Central Bank, Dr. Ernest Addison, cited likely risks to the country’s inflation outlook despite the recent moderation and deceleration of inflationary pressures and the marginal stabilisation of the local currency.
Cumulatively, the policy rate hikes by the Central Bank since November 2021, comes to some 1,600 basis points.
There are indications that the country’s progress with the IMF and the impact of the downward trend of inflation on the economy among others will be at the heart of this week’s discussions.
Following financing assurances to Ghana’s Creditor Committee under the G20 Common Framework, the International Monetary Fund, IMF Board is supposed to consider government’s request for an IMF support programme today.
This will enable the country gain access to the first tranche of US$ 600 million out of the US$ 3 billion bailout package it needs to revive the economy.