The Bank of Ghana (BoG) is expected to cut its policy rate aggressively going forward, Fitch Solutions has disclosed in its November 2025 Sub-Saharan Africa Update.

According to the UK-based firm, this follows a rapid decline in inflation to a single digit.

It forecasted a policy rate of 14% by the end of 2026.

It explained that the expected cut in the base lending rate will boost private sector credit and boost domestic demand.

“With inflation in single digits, we expect the BoG to keep cutting aggressively through the coming months, further boosting private credit, corporate capex [capital expenditure], and domestic demand”.

The Bank of Ghana has cut its benchmark rate by a cumulative 1,000 basis points since the start of the year, making it one of the fastest easing cycles globally.

At the last MPC meeting in November 2025, the Central Bank cut its policy rate by a further 350 basis points to 18.00%.

The Central Bank cited improved overall macroeconomic conditions and a significant drop in inflation.

“In taking the policy decision, the view of the Committee was that overall macroeconomic conditions have broadly improved. Given the anticipated significant decline in inflation by the end of the year, the tight monetary policy stance, the significant build-up of reserves, which is providing an anchor for exchange rate stability, the Bank projects a continued stable inflation profile around the target and well into the first half of 2026.”

This is against the backdrop that current risks in the outlook to shift the path of inflation away from target have moderated significantly, the Central Bank added.