Many central banks are cutting their interest rates in response to declining inflation therefore the Bank of Ghana must also follow suit and reduce the rate, an economist and director of research at the Institute of Economic Affairs (IEA), Dr John Kwakye, has said.
Ahead of the 120th Monetary Policy Committee (MPC) press conference to be held on Friday, September 27, Dr Kwakye says the policy rate must be reduced drastically from the current rate of 29%.
He argues that since the inflation rate has dropped drastically it will not be appropriate for the BoG to continue to keep the policy rate at 29 percent.
In a post on his X platform, he indicated that many central banks are cutting their interest rates in response to declining inflation.