GNCCI Raises Concerns Over High Lending Rates Despite BoG Policy Easing
The Ghana National Chamber of Commerce and Industry (GNCCI) has expressed concern over persistently high commercial bank lending rates, warning that businesses are yet to fully benefit from the Bank of Ghana’s recent monetary policy easing.
In a statement issued on January 29, 2026, the Chamber noted that lending rates remain elevated despite the Central Bank’s decision to reduce the Monetary Policy Rate (MPR) from 18 percent to 15.5 percent. According to GNCCI, the high cost of borrowing continues to constrain business expansion, particularly for small and medium-sized enterprises (SMEs).
While welcoming the latest policy rate cut, the Chamber pointed out that non-interest cost components and bank-specific charges — including risk premiums, operating costs, profit margins, processing and arrangement fees, as well as commitment charges — add an estimated four to five percentage points to the policy rate. It described the resulting financing costs as prohibitively high for both large corporates and SMEs.
GNCCI has therefore called on commercial banks to complement the Central Bank’s actions by reducing non-interest charges and improving the transmission of monetary policy easing to borrowers. It further urged banks to adopt risk-sharing mechanisms and credit enhancement frameworks to help lower lending risks and borrowing costs.
The Chamber acknowledged that the cumulative 11.5 percentage point reduction in the Monetary Policy Committee (MPC) rate between January 2025 and January 2026 reflects improving macroeconomic conditions and stronger coordination between fiscal and monetary authorities. It commended the Government of Ghana, the Ministry of Finance and the Bank of Ghana for what it described as prudent macroeconomic management.
However, GNCCI stressed that without a corresponding decline in commercial lending rates, the full impact of the policy easing may not be realised. It argued that a more responsive credit environment would support sustainable loan growth, reduce non-performing loans, boost investment in productive sectors and strengthen private sector–led economic growth.
The Chamber reaffirmed its commitment to engaging with monetary authorities, financial institutions and policymakers to help foster an enabling business environment that promotes competitiveness, job creation and long-term economic resilience.
