The Bank of Ghana held the prime lending rate steady at 16% at its May 27th 2019 meeting, as widely expected. Policymakers said that despite the rise in headline inflation to 9.5% in April 2019 from 9.3% in March, it remains inside the medium term target band and inflation expectations are well-anchored. Also, the cedi has recovered most of the losses since a surprise rate cut in January led the currency to weaken sharply against the dollar. The bank added that economic growth remains relatively strong and it is projected to gain steam, supported by oil production. The Committee will continue to closely monitor both global and domestic developments and stands ready to take appropriate measures if necessary to maintain price stability. Interest Rate in Ghana averaged 18.02 percent from 2002 until 2019, reaching an all time high of 27.50 percent in March of 2003 and a record low of 12.50 percent in December of 2006.
Interest Rate in Ghana is expected to be 15.00 percent by the end of this quarter, according to Trading Economics global macro models and analysts expectations. Looking forward, we estimate Interest Rate in Ghana to stand at 14.75 in 12 months time. In the long-term, the Ghana Interest Rate is projected to trend around 14.00 percent in 2020, according to our econometric models.