The Bank of Ghana (BoG) has cut its benchmark policy rate by 300 basis points.
This means, the rate commercial banks use as reference for lending has been slashed from 28 to 25 percent – the most aggressive rate reduction in recent years signalling growing confidence in the country’s macroeconomic stability.
The decision was announced at the end of the July 2025 Monetary Policy Committee meeting, following a sustained decline in inflation and a relatively stable currency environment.
At the 125th monetary policy announcement on Wednesday, July 30, the Governor of the Bank of Ghana, Dr. Johnson Asiama admitted that, despite the continuous disinflation process, there are still underlying risks which the Central Bank will be monitoring keenly.
“The MPC, by a majority decision, voted to lower the monetary policy rates by 300 basis points to 25%. Looking ahead, the Committee will continue to assess incoming data and likely reduce the policy rate further should the disinflation trend continue” the Governor told the press.