The Monetary Policy Committee (MPC) of the Bank of Ghana has kept the policy rate unchanged at 13.5 percent, saying the risk to inflation and growth were broadly balanced.
The policy rate is the key lending rate of the central bank in a country.
It is a monetary policy instrument under the control of the Central Bank -Reserve Bank of India (RBI) – to regulate the availability, cost, and use of money and credit.
The Bank of Ghana held its monetary policy rate at 13.5% during its September meeting, saying the risks to inflation and growth were broadly balanced. Inflation accelerated to 9.7 percent in August, from a 9 percent rise in July, driven mainly by sustained food price increases but remaining within the Central bank’s target range of 8±2%, closer to the upper limit in the near-term.
Policymakers added that close monitoring of the inflation situation is needed to respond swiftly to prevent potential second-round effects on headline inflation from the rising food inflation.
Source: Mybrytfmonline.com/Kofi Atakora
