All six members of the Monetary Policy Committee (MPC) of the Bank of Ghana voted to keep the policy rate at 14%.

This was captured in the minutes of the meeting released by the Central Bank, in reference to submissions made by each member. 

Joy Business understands that the Governor of the Bank of Ghana, Dr. Johnson Asiama, did not vote, unless there was a tie.

Even though the members were seven, only six voted.

 A careful look at the document showed that all the members were worried about the outlook of inflation despite improved economic indicators. That is why they adopted the “wait and see attitude” in terms of responding to these threats.  

For instance, one member on the committee noted that the recent uptick in headline and core inflation, alongside elevated external risks and rising inflation expectations, calls for a cautious policy approach. 

That member also added that “premature monetary easing could reverse progress towards restoring price stability and risk de-anchoring inflation expectations, while tightening could undermine the easing of credit conditions and weaken growth momentum”.

The MPC kept the policy rate at 14% in its recent meeting, citing uncertainty in the inflation outlook and the Middle East war.