The Bank of Ghana (BoG) is undertaking a strategic review of its monetary policy framework, signaling a shift toward a more active open market operations regime as part of efforts to enhance macroeconomic management.
The updated framework will feature longer-tenor BoG instruments, aimed at strengthening policy transmission, improving liquidity management, and expanding access to credit for the private sector.
The initiative was announced by Governor Dr. Johnson Asiama during the 124th Monetary Policy Committee (MPC) Meeting in Accra.
Dr. Asiama noted that the review seeks to evaluate the effectiveness of the current monetary stance in sustaining disinflation while supporting economic growth. He highlighted the importance of addressing several key concerns, including the durability of the cedi’s appreciation, market confidence, and their implications for medium-term inflation forecasts.
He further emphasized the need for the MPC’s post-meeting communiqué to clearly articulate policy decisions and provide a transparent overview of economic conditions to anchor expectations and reinforce public trust.
Dr. Asiama called on MPC members to approach deliberations with professionalism, analytical rigour, and independence, underlining that the Committee’s credibility hinges on its ability to respond decisively and transparently to evolving economic dynamics.
Credit: GNA
