Policy rate reduced to 13.5%
The Bank of Ghana has cut the policy rate to 13.5%.
The move comes after the BoG reduced the rate in March 2020.
Governor Dr. Ernest Addison explained that this is a 100 basis points reduction in the rate.
He announced this in Accra today, Monday, May 31.
According to him, the central bank took the decision based on the fiscal policy measures contained in the 2021 Budget Statement gearing towards economic growth.
The rate was formerly at 14.5% percent and has remained unchanged for six consecutive times.
The policy rate determines the rate at which the BoG lends to commercial banks.
It also determines how much interest people pay on their loans.