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Ghana: Akufo-Addo implores commercial banks to lower rates

By Jonas Nyabor
Posted on Wednesday, 6 October 2021 12:16

Pedestrians walk in front of Ghana's central bank building in Accra, Ghana, November 16, 2015. REUTERS/Francis Kokoroko/File Photo

The Bank of Ghana has maintained a monetary policy rate of 13.5%, while commercial banks continue to lend at an average of 20.6% interest to private businesses, which is hurting the execution President Nana Akufo-Addo's economic agenda.

Ghana’s banks were roasted by the President in August for high lending rates. Akufo-Addo tasked the board of the Bank of Ghana to ensure that the yawning gap between the central bank’s monetary policy rate and the lending rate of commercial banks is bridged.

“This is a gap we have to bridge if we are to realise the vision of a Ghana whose economy is globally competitive,” the president said.

The Bank of Ghana on 27 September for the third time maintained the monetary policy rate at 13.5% as commercial banks continue to lend at an average of 20.6% interest to private businesses.