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.
However, there is pressure on the banks from the government to reduce their interest rates to enable more businesses to access credit, expand operations and create employment. But with the banks insisting the high interest rate is a result of the government’s difficult policies, the central bank must jump in to
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