The Governor of the Bank of Ghana, Dr Johnson Asiama, has called on the Monetary Policy Committee (MPC) to make decisions that support Ghana’s ongoing economic recovery without reversing the progress achieved so far.

Speaking at the MPC meeting held at the Bank’s Head Office in Accra on July 28, he said the committee should assess whether current economic conditions warrant any shift in policy direction.

Dr Asiama noted that inflation expectations are now better anchored, the country’s foreign reserves have improved, and overall confidence in the economy remains strong.

He emphasised that monetary policy decisions must safeguard these gains while facilitating growth.

“Our mandate requires a balanced decision that reinforces stability while enabling sustainable growth,” he said.

The Governor also warned of ongoing challenges that should not be overlooked.

These include the 2025 Budget, which signals the government’s strong commitment to fiscal consolidation, and the lingering impact of the 7.9% budget deficit recorded in 2024.

Dr Asiama pointed out that, despite the progress made, liquidity conditions remain tight, limiting the availability of credit to businesses and households.

“Liquidity conditions are still tight, and we must remain attentive to the pace and breadth of policy transmission, particularly to credit channels and the productive sectors,” he stated.

He urged MPC members to stay alert and consider the broader implications of their decisions, not only on inflation and interest rates but also on the real economy, especially sectors that drive growth and job creation.

DR/MA

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