As limited access to finance continues to hamper the growth of Ghanaian businesses, Bank of Ghana Governor, Dr. Johnson Pandit Asiama, has pledged to reduce lending rates to below 10% by the end of his four-year tenure. His assurance came during a corporate forum organized by the Association of Ghana Industries (AGI) in Accra, where he emphasized the need for affordable credit to drive the country’s industrial transformation.

Dr. Asiama acknowledged the manufacturing sector's vital role in economic development but noted that persistently high interest rates continue to restrict its potential. “Every factory floor, warehouse or innovation that you push forward brings our macroeconomic story to life,” he told participants.

Despite recent economic improvements—including easing inflation and a stabilizing cedi—the central bank maintained its monetary policy rate at 28% at its most recent Monetary Policy Committee (MPC) meeting. The Governor defended the decision, citing the need to consolidate disinflation gains and ensure long-term macroeconomic stability.

Inflation has declined for four consecutive months, falling from 23.8% in December 2024 to 21.2% in April 2025. However, industries still struggle with high borrowing costs, which limit access to working capital and constrain expansion.

“We are choosing this discipline today so industry can thrive tomorrow in a low-inflation, low interest rate environment that rewards productivity,” Dr. Asiama stated. He reiterated the central bank’s commitment to rebuilding investor confidence and laying the groundwork for sustainable and inclusive growth.

Ghana’s economy is showing signs of recovery. GDP grew by 5.7% in 2024, supported by strong activity in the services and industrial sectors. The country also recorded a trade surplus of US$4.1 billion in the first four months of 2025, and a current account surplus of US$2.1 billion in Q1—largely driven by gold and cobalt exports. Gross international reserves currently stand at US$10.7 billion, offering 4.7 months of import cover.

The Ghanaian cedi has appreciated by 24% against the U.S. dollar in 2025, reversing a sharp 90.2% depreciation in 2024. Dr. Asiama, however, stressed that the Bank of Ghana is not targeting a specific exchange rate level. “The cedi is trying to discover an optimal path. We monitor movements relative to inflation—and that guides our interventions,” he explained.

He also dismissed speculation that the recent cedi appreciation is being artificially managed, emphasizing that current stability reflects “deliberate, coordinated and credible policy action.”

Dr. Asiama proposed closer collaboration between the central bank and AGI, suggesting the establishment of structured engagement platforms. These would include quarterly forums on credit access and FX policy, joint research initiatives to identify regulatory bottlenecks, and improved communication around financial regulations.

“The most valuable currency is not printed on paper or stored in vaults, but the trust of people in the economy,” he remarked, adding that the BoG aims to increasingly support private sector-led expansion, particularly in industry, exports, and job creation.

While acknowledging concerns over Ghana’s external debt sustainability, especially following debt relief from the Official Creditors Committee co-chaired by France and China, Dr. Asiama assured that the central bank is fully prepared to manage future repayments.

“We have a profile of all major payments due in the next year or two, and a projected cash flow framework to guide us,” he said.

Efforts to strengthen the cedi’s stability will also focus on reducing forex reserve leakages through the Ghana Gold Board and improving tracking of remittance inflows.

In closing, Dr. Asiama urged the business community to view the current macroeconomic stability not as a temporary respite, but as a platform for long-term growth: “The stabilisation we are witnessing today is real, even though it is fragile. It must be protected, deepened, and translated into sustained, broad-based development.”