The Monetary Policy Committee of the Bank of Ghana on Wednesday, July 30, 2025, cut the policy rate by 300 basis points.
The rate has been slashed from 28% to 25% – a significant reduction in recent years.
The decision was announced at the end of the July 2025 Monetary Policy Committee (MPC) meeting, following a sustained decline in inflation and a relatively stable currency environment.
“The MPC, by a majority decision, voted to lower the monetary policy rates by 300 basis points to 25%. Looking ahead, the Committee will continue to assess incoming data and likely reduce the policy rate further should the disinflation trend continue,” the Governor, Dr. Johnson Asiama told the press.
During the 125th monetary policy announcement, Dr. Johnson Asiama acknowledged that, although the disinflation process is ongoing, there remain underlying risks that the Central Bank will closely observe and adjust policies as necessary to ensure price stability and foster continued economic growth.
In July, Ghana's inflation rate fell to 13.7%, representing a notable decrease from earlier peaks and highlighting the effectiveness of coordinated monetary and fiscal policies in stabilizing prices.
The move is likely to reduce borrowing costs for businesses and households, while signaling growing confidence in the country’s disinflation trajectory.