BoG Policy Rate Hike to 28%: Details of the 3-2 Vote Decision by MPC Members
The Monetary Policy Committee (MPC) of the Central Bank of Ghana in its 123rd MPC press briefing on March 28, 2025, announced a 100 basis points (1%) increase in the prime rate, raising its benchmark interest rate to 28% from the previous rate of 27%.
The 100 basis points (1%) hike in the policy rate was despite witnessed marginal reductions in the headline inflation rate and significant reductions in treasury bill rates since the start of this year.
According to the Governor of the Central Bank, Dr Johnson Asiama, the policy rate hike is to re-anchor the ongoing disinflation process, and as inflation becomes firmly anchored, the Committee will reassess the scope for a gradual easing of the policy stance.
Re-anchoring the ongoing disinflation process was the broad reason given for the policy rate hike by the Governor on behalf of the Committee.
Below, however, are the more specific, detailed, and objective reasons given by each member of the Monetary Policy Committee for their respective decision to either vote for a hike in the policy rate to 28% or vote for the policy rate to be maintained at 27%.
