The Second Deputy Governor of the Bank of Ghana (BoG), Mrs. Matilda Asante-Asiedu, has called for sustained policy discipline, stronger trust in financial systems, and deeper capital mobilisation to preserve Ghana’s recent macroeconomic stability, warning that hard-won gains remain fragile.
Delivering the keynote address at The Money Summit 2026 in Accra, Mrs. Asante-Asiedu said Ghana’s economic recovery over the past two years represented a significant achievement, but emphasised that maintaining stability would require vigilance amid persistent global and domestic risks.
“This is not an ordinary assembly,” she told an audience of regulators, bank executives, agribusiness leaders and policymakers. “It is a gathering of the custodians of Ghana’s economic present and future. The only subject worthy of this room is the economy itself—and whether it is stable and will remain so.”
Mrs. Asante-Asiedu highlighted a sharp improvement in macroeconomic indicators, noting that inflation has dropped significantly and that the disinflation trend had enabled the central bank to ease monetary conditions.
The Monetary Policy Rate has fallen from 27 percent to 14 percent, while the 91-day Treasury bill rate has dropped from 28 percent to below 5 percent. Average lending rates have also declined from above 30 percent to about 16 percent.
“For every business in this room, that is the difference between credit that strangles and credit that fosters growth,” she said.
On the external front, Ghana’s gross international reserves have risen from approximately US$9 to over US$14 billion, supported by strong gold export earnings and improved fiscal and external balances.
The current account is in surplus, and growth has exceeded expectations, she noted.
“To sum it all up, our economy is well and stable,” she declared, adding that achieving such stabilisation within a short period reflects both strong institutional capacity and national resolve.
Mrs. Asante-Asiedu also addressed Ghana’s near-completion of its Extended Credit Facility (ECF) programme with the International Monetary Fund (IMF), describing the transition to a Policy Coordination Instrument (PCI) as a critical next step.
Unlike the ECF, the PCI does not involve financial support but instead focuses on monitoring and sustaining reforms.
“This is no longer about borrowing; it is about discipline,” she explained. “Our credibility will now rest entirely on the quality and consistency of our own policies.”
She noted that the PCI framework would serve as an “anchor” for policy credibility, committing Ghana to transparency and reform continuity without reliance on external financing.
Anchoring her remarks on the summit theme—“Building Trust, Capital and Stability for Ghana’s Economic Future”— she stressed that the three pillars are inseparable.
“Everything in finance is, at its core, a promise,” she said. “Trust is what turns a good year into a credible decade.”
She warned that Ghana’s private sector credit remained shallow, at under 10 percent of GDP, limiting the ability of businesses and farmers to scale operations.
While falling interest rates provide an opportunity, she urged stakeholders to collectively improve credit discipline and accountability.
“Trust lowers the cost of capital; capital funds growth; growth sustains stability—and stability deepens trust,” she explained.
Mrs. Asante-Asiedu outlined key policy priorities the Bank of Ghana would pursue to sustain economic gains:
- Price stability: The central bank will remain vigilant against inflationary pressures, ensuring low and predictable inflation to support affordable credit and business continuity.
- Reserve accumulation: BoG aims to build reserves to cover at least six months of imports, while advancing the Ghana Gold Reserve Accumulation Programme (GANRAP) towards a longer-term target of 15 months.
- Exchange rate stability: She cautioned market participants against speculative behaviour, noting that past bets against the cedi resulted in losses when the currency recovered strongly in 2025.
- Orderly forex market: The bank will maintain a transparent, rules-based intervention framework to manage volatility without distorting fundamentals.
- Banking sector strength: Efforts to recapitalise banks and reduce non-performing loans will continue, with targets to bring NPLs down to 15 percent by end-2026 and 10 percent by 2027.
- Capital mobilisation: Authorities are working to channel long-term domestic savings—including pensions and remittances—into productive investments.
Closing her address, Mrs. Asante-Asiedu stressed that sustaining economic stability is a collective responsibility.
“We have secured stability. Our charge now is to sustain it—and that is not the Bank of Ghana’s burden alone,” she said. “We all need to play our part… to make the economy work not only for today but also for posterity.”
The Money Summit brought together key stakeholders across finance, agriculture and development sectors to discuss strategies for strengthening Ghana’s economic resilience and growth trajectory.
Source: businesspostonline
