know wonder there is mass rush of opening banks in ghana
they are the one destroying our enconomy whereby making businessmen suffer higher interest rate.
know wonder there is mass rush of opening banks in ghana
they are the one destroying our enconomy whereby making businessmen suffer higher interest rate.
KQ 10 years ago
Higher interest is good for investors. This has nothing to do with borrowing interst. They are two different things
Higher interest is good for investors. This has nothing to do with borrowing interst. They are two different things
DAN 10 years ago
a bank cannot loan at a interest rate lower than what its paying its investors( time deposit or saving) otherwise there is no profit unless the loans are underwritten by gov..like student loans in usa!
a bank cannot loan at a interest rate lower than what its paying its investors( time deposit or saving) otherwise there is no profit unless the loans are underwritten by gov..like student loans in usa!
Okujeto Ablakwa 10 years ago
Put it squarely on Bank of Ghana and Tekper's mismanagement under clueless Mahama
Put it squarely on Bank of Ghana and Tekper's mismanagement under clueless Mahama
Goateater 10 years ago
This yield rate is detrimental to the economy. No wonder the cedi is in a free fall, because the govt has to rely on national reserves and foreign aid to make up such interest yields. Are there any REAL Economists in Ghana? t ... read full comment
This yield rate is detrimental to the economy. No wonder the cedi is in a free fall, because the govt has to rely on national reserves and foreign aid to make up such interest yields. Are there any REAL Economists in Ghana? they need to stop this insanity.
KQ 10 years ago
Actually we used to have a 38% yield rate a few years ago
Actually we used to have a 38% yield rate a few years ago
wenluv 10 years ago
why isnt it a good news...
why isnt it a good news...
Goateater 10 years ago
It is bad for all. Look at it this way: Ur family borrows $1 n promise to pay $1.25 in 90 days, tho u all know u cant make 25cents profit within that time. So u are forced to use ur family savings, or borrow, or beg to make t ... read full comment
It is bad for all. Look at it this way: Ur family borrows $1 n promise to pay $1.25 in 90 days, tho u all know u cant make 25cents profit within that time. So u are forced to use ur family savings, or borrow, or beg to make that payment. A vicious cycle is the unavoidable consequence, and goes to explain why countries like Ghana seem to be in perpetual poverty.
wenluv 10 years ago
Is a good news for us who invest in the treasury bill...
Is a good news for us who invest in the treasury bill...
Obenfo 10 years ago
It may be good for you today because you invest in T'Bills, but think of it in longer terms. In the long run Ghana will default on its interest payment and the whole economy will crumble leaving you to loose your capital.
... read full comment
It may be good for you today because you invest in T'Bills, but think of it in longer terms. In the long run Ghana will default on its interest payment and the whole economy will crumble leaving you to loose your capital.
Know that Ghana doesn't have a large Income Tax Base, so the little income the Country earns from export is used to pay high interest expense, so they have nothing left to live on afterwards.
And the consequence is, Ghana may have to go for another loan they end-up going for another round of loans or treasuries to accrue new high interest.
If this trend continues, it will reach a saturation point where the government can't pay its interests and principal. And, that will destroy confidence in the economy to attract even higher interest rate, yet investors may not be motivated to buy any more failed Ghanaian debts, and who loses? The whole Ghana including all investors.
DAN 10 years ago
why was their boat seized in Tema port! because they defaulted!
why was their boat seized in Tema port! because they defaulted!
Nemi Kwesi Nemi 10 years ago
The research has 21.08 and 20.90 percent for 91-Day and 182-Day bills respectively.
Only in Ghana will a shorter term's rate be higher than a long term's. Twisting ourselves big time,
The research has 21.08 and 20.90 percent for 91-Day and 182-Day bills respectively.
Only in Ghana will a shorter term's rate be higher than a long term's. Twisting ourselves big time,
DAN 10 years ago
its safer of course to get your money out fast than linger for 1-5-10 years and see if country fails...
its safer of course to get your money out fast than linger for 1-5-10 years and see if country fails...
JB Ansong 10 years ago
Interest rates are ALWAYS a refecltion of inflation: the more stable a currency the less the interest rate.
For instance a 7-year treasury bill in Germany won't yield more than 2% per annum, because the Euro is very stable ... read full comment
Interest rates are ALWAYS a refecltion of inflation: the more stable a currency the less the interest rate.
For instance a 7-year treasury bill in Germany won't yield more than 2% per annum, because the Euro is very stable.
KQ 10 years ago
Actually people who invest in western countries are cheated because their yield is usually lower than real inflation. Investing in emerging markets, your yield is always higher than inflation. 21% is about twice the real infl ... read full comment
Actually people who invest in western countries are cheated because their yield is usually lower than real inflation. Investing in emerging markets, your yield is always higher than inflation. 21% is about twice the real inflation. Also in Africa real inflation tends to be lower than reported inflation whereas in the west it is the opposite
know wonder there is mass rush of opening banks in ghana
they are the one destroying our enconomy whereby making businessmen suffer higher interest rate.
Higher interest is good for investors. This has nothing to do with borrowing interst. They are two different things
a bank cannot loan at a interest rate lower than what its paying its investors( time deposit or saving) otherwise there is no profit unless the loans are underwritten by gov..like student loans in usa!
Put it squarely on Bank of Ghana and Tekper's mismanagement under clueless Mahama
This yield rate is detrimental to the economy. No wonder the cedi is in a free fall, because the govt has to rely on national reserves and foreign aid to make up such interest yields. Are there any REAL Economists in Ghana? t ...
read full comment
Actually we used to have a 38% yield rate a few years ago
why isnt it a good news...
It is bad for all. Look at it this way: Ur family borrows $1 n promise to pay $1.25 in 90 days, tho u all know u cant make 25cents profit within that time. So u are forced to use ur family savings, or borrow, or beg to make t ...
read full comment
Is a good news for us who invest in the treasury bill...
It may be good for you today because you invest in T'Bills, but think of it in longer terms. In the long run Ghana will default on its interest payment and the whole economy will crumble leaving you to loose your capital.
...
read full comment
why was their boat seized in Tema port! because they defaulted!
The research has 21.08 and 20.90 percent for 91-Day and 182-Day bills respectively.
Only in Ghana will a shorter term's rate be higher than a long term's. Twisting ourselves big time,
its safer of course to get your money out fast than linger for 1-5-10 years and see if country fails...
Interest rates are ALWAYS a refecltion of inflation: the more stable a currency the less the interest rate.
For instance a 7-year treasury bill in Germany won't yield more than 2% per annum, because the Euro is very stable ...
read full comment
Actually people who invest in western countries are cheated because their yield is usually lower than real inflation. Investing in emerging markets, your yield is always higher than inflation. 21% is about twice the real infl ...
read full comment