The Monetary Policy Committee of the Bank of Ghana will start its 126th meeting today, Monday, September 15, 2025, focusing on key economic developments.
They will consider the ongoing drop in inflation and the cedi’s recent slight depreciation in the foreign exchange market.
The meeting will review current economic conditions and set the central bank’s next policy steps.
During its July meeting, the Monetary Policy Committee of the Bank of Ghana reduced the policy rate by 300 basis points to 25 percent, following five consecutive months of declining inflation.
However, with consumer inflation dropping further to 11.5 percent in August, which is already below the year-end target of 11.9 percent, the market anticipates another rate reduction this month, bolstered by favorable base effects.
However, the Committee faces several risks that could affect its policy decisions.
Global trade tensions and a potential rise in utility tariffs present upward risks to the inflation outlook. In response, the Committee may consider maintaining a cautious approach to the policy rate.
On the local currency front, Governor Dr. Johnson Asiama has minimized the significance of the recent depreciation. He attributes these fluctuations to seasonal trade pressures rather than a reversal of previous stability achievements.
Despite the challenging circumstances, the Committee’s discussions will culminate in a press conference on Wednesday, September 17, 2025, where the decision on the policy rate and the central bank’s economic outlook will be revealed.
