The Monetary Policy Committee (MPC) of the Bank of Ghana is set to begin its 124th meeting on Wednesday, May 21, 2025, with a focus on evaluating recent macroeconomic trends and shaping the country’s monetary policy direction.

The meeting comes at a crucial time, as the Ghanaian Cedi has shown recent strength against the US dollar, and inflation appears to be gradually easing following months of policy tightening.

In its previous session, the MPC raised the monetary policy rate by 100 basis points, moving it to 28%. Bank of Ghana Governor, Dr. Johnson Asiama, explained that the rate hike was intended to reinforce the downward momentum of inflation and maintain macroeconomic stability.

“The adjustment was necessary to re-anchor inflation expectations and keep the disinflation process on track,” Dr. Asiama stated during the last briefing.

With the current policy rate still holding at 28%, analysts and market observers largely anticipate that the central bank will maintain the rate at this level—at least in the short term. However, further cuts could be on the table if disinflation continues and other economic indicators remain stable.

The MPC’s decision is highly anticipated, as it will influence borrowing costs, investment flows, and the overall direction of the economy. Businesses, financial institutions, and investors are closely watching for any signs of easing or tightening.

The meeting will conclude on Friday, May 23, 2025, with a press conference where the central bank is expected to explain its decision and outline future policy actions aimed at reinforcing economic resilience and stability.