The average lending rate eased to 31.25% in April 2024, from 32.37% recorded in March 2024, according to Bank of Ghana data.

This is equivalent to 2.60% per month.

The decline in the rate is in line with the disinflation process.

The average lending rate began in 2024 at 32.94% and took a nosedive in February and March 2024 and further in April 2024.

It stood at 32.77% in February 2024 and then dropped to 32.35% in March 2024.

The Ghana Reference Rate however stood at 29.82% in April 2024.

The Monetary Policy Committee of the Bank of Ghana kept the policy rate unchanged at 29.0% today May 27, 2024.

The Central Bank cited a slightly elevated inflation profile on account of recent exchange rate pressures and adjustments in transportation fares as the main reason.

Average lending rates vary among banks

The average lending rates, however, vary among the banks and the respective sectors they lend to.

Some banks offer loans equivalent to the Ghana Reference Rate, whilst others will charge rates as high as 40%.

This however depends on the risk profile of the customers.