Commercial banks have begun actively approaching customers with loan offers, a development the Bank of Ghana (BoG) says indicates improving liquidity conditions and a strengthening banking sector following recent monetary easing.

Governor of the Bank of Ghana, Dr Johnson Asiama, disclosed this at the 128th Monetary Policy Committee (MPC) press briefing held in Accra on Wednesday, January 28, noting that banks are now more willing to extend credit at significantly reduced interest rates.

“Banks are beginning to call clients if they need loans,” the Governor said.

Dr Asiama described the trend as a positive signal of renewed confidence in the financial system, reflecting stronger balance sheets, improved liquidity positions, and an increased appetite among banks to support private-sector activity.

“Someone told me this morning that his bank called him to come for a loan at a 15 per cent rate.”

His comments followed the BoG’s decision to cut the Monetary Policy Rate (MPR) by 250 basis points, reducing it from 18 per cent to 15.5 per cent, the central bank’s first policy adjustment for 2026. The decision was announced after the MPC’s 128th meeting at Bank Square.

The latest reduction follows a more aggressive 350-basis-point cut in November 2025, when the policy rate was lowered from 21.5 per cent to 18 per cent, as inflationary pressures eased and macroeconomic conditions showed signs of improvement.

According to Dr Asiama, the Committee’s decision was based on forecasts and survey-based inflation expectations, which suggest that headline inflation is likely to remain within the medium-term target, despite potential risks from utility tariff adjustments and volatility in global commodity markets.

“GDP growth is expected to remain strong in 2026, with the output gap narrowing,” Dr Asiama noted, adding that while this could introduce moderate demand-side pressures, overall monetary conditions remain tight relative to prevailing inflation dynamics.

The Governor stressed that the rate cut reflects the central bank’s intention to support economic growth and credit expansion while safeguarding price stability.

“Sustaining Ghana’s macroeconomic gains will hinge on disciplined fiscal policy, strong policy coordination, and targeted agricultural interventions to contain food inflation, while remaining vigilant to heightened geopolitical tensions,” he said.

With lending rates easing and banks increasingly willing to extend credit, expectations are rising that private-sector activity will gather pace in the months ahead, boosting investment, consumption, and overall economic growth.