The Monetary Policy Committee (MPC) of the Bank of Ghana has reduced its key lending rate to commercial banks in the country.
The Committee reduced the policy rate by 100 basis points to 16 per cent.
The governor of the Central Bank, Dr. Ernest Addison, announced the reduction at a press conference today [Monday].
According to the Central Bank, a fairly stable outlook for the economy influenced the move.
The governor further indicated that the bank is also convinced about measures government is taking to stabilize the economy and check its rising expenditure.
The reduction is the first time after the rate was reduced in March 2018.
In March 2018, the Bank of Ghana reduced its rate by 200 basis points from 20 per cent to 18 per cent.