The Ghana National Chamber of Commerce and Industry (GNCCI) is calling on banks to swiftly lower lending rates following the Bank of Ghana’s record-breaking cut to the Monetary Policy Rate (MPR).
The Monetary Policy Committee (MPC) on July 30, 2025, slashed the benchmark rate by 300 basis points, from 28 percent to 25 percent, the sharpest reduction on record. The move came after months of cooling inflation and a stronger cedi, and signaled the central bank’s confidence in the country’s economic recovery.
For GNCCI, the message is simple: this policy shift will only make a difference if it filters down to businesses through cheaper credit.
GNCCI Chief Executive Officer Mark Badu Aboagye emphasized that companies cannot wait months to see changes in their loan terms.
“The Chamber encourages banks and financial institutions to respond swiftly to this policy change by adjusting commercial lending rates downward to reflect the new MPC rate,” Aboagye said in the Chamber’s statement.
He explained that for traders, manufacturers, and SMEs, the burden of high interest rates has been stifling expansion and investment plans. The 300-basis-point cut offers hope, but only if banks translate the headline rate into tangible relief.
The MPC’s historic move was backed by a clear picture of improving fundamentals. In its post-meeting briefing, the Bank of Ghana reported GDP growth of 5.3 percent in the first quarter of 2025, a steep drop in inflation to 13.7 percent in June, the lowest since 2021, and a 40 percent appreciation of the cedi against the US dollar so far this year. Public debt has also fallen sharply, from 61.8 percent of GDP at end-2024 to 43.8 percent by June.
“The Committee noted that macroeconomic conditions have significantly improved, inflation expectations are broadly anchored, external buffers have strengthened, and confidence in the economy is returning,” the MPC statement said, adding that inflation is now expected to hit the Bank’s 8±2 percent target by the end of 2025, earlier than projected.
On that basis, the MPC voted to cut the rate, and hinted further easing could follow if disinflation holds.
A Wider Call for Support
Aboagye also urged the government and partners not to leave the work entirely to the central bank.
“We also urge government and development partners to complement this policy with targeted support for SMEs and export-driven industries,” he added.
GNCCI says it will keep working with the Bank of Ghana and stakeholders to make sure the private sector benefits from the policy shift.
“The GNCCI remains committed to working collaboratively with the Bank of Ghana and all relevant stakeholders to create an enabling environment for private sector-led growth and national development,” the statement concluded.
The Bank of Ghana has delivered a rate cut that could unlock a wave of affordable credit. But as Aboagye stressed, the next move is up to banks to ensure the relief reaches shop floors, factory lines, and farms across Ghana.
