The Monetary Policy Committee (MPC) of the Bank of Ghana has held the policy rate steady at 28%, citing persistent inflationary risks as the main reason behind the decision.
Governor of the Bank of Ghana and Chairman of the MPC, Dr. Johnson Asiama, announced the decision during a press briefing on May 23, 2025.
He explained that despite some positive developments in the macroeconomic environment, inflation currently at 21.2% remains a significant concern, warranting a cautious approach to monetary policy.
“The Committee assessed the risks to the inflation outlook and judged that maintaining the policy rate at 28 percent is necessary to help anchor expectations and sustain ongoing disinflation efforts,” Dr. Asiama stated.
This comes after the Central Bank revealed that the cedi has recorded its strongest performance in recent years, surging significantly against its major trading counterparts.
According to the Bank of Ghana’s May 2025 Summary of Economic and Financial Data, the cedi has appreciated by 24.1% against the US dollar, 16.2% against the British pound, and 14.1% against the euro, marking an all-time high in percentage terms.
As of May, the cedi is trading at approximately GH₵11.85 to the dollar, GH₵15.84 to the pound, and GH₵13.34 to the euro, reflecting a remarkable turnaround from the sharp depreciation trends observed in recent years.
