September 25, 2020
Clickongh

BoG’s Monetary Policy Committee begins 3-Day meeting today to assess economy

The Monetary Policy Committee of the Bank of Ghana is scheduled to begin it’s regular meetings from Wednesday through to Friday, July, 24.

The 95th meeting of the MPC is to review developments in the economy and take certain critical decisions.

The meeting will also come out with the Monetary Policy Rate which is of keen interest to businesses, as it determines the rate at which the BoG lends to commercial banks, and subsequently influences interest rate on loans.

Businesses have often complained about how the policy rate does not often reflect on interest on loans as expected.

The BoG at its last MPC meeting in May this year, maintained the rate at 14.5 percent, citing among other things the impact of the COVID-19 on businesses and the need to cushion them.

It was also to control inflation from going out of gear. That was the first time the rate had been kept unchanged in many months.

An Economist, Dr. Lord Mensah, has told Citi Business News he expects the rate to be maintained or reduced further to lessen the burden on businesses hit by COVID-19.
The BoG’s decision will be announced on Monday, July 27. This MPC meeting will be taking place alongside the presentation of the Mid-year budget review on Thursday.

Source: Business