GUTA urges BoG to fast-track single-digit lending rates

The Ghana Union of Traders’ Associations (GUTA) is calling on the Bank of Ghana to accelerate measures that would bring commercial lending rates down to single-digit levels.

The appeal follows the central bank’s recent decision to cut its policy rate from 18 percent to 15.50 percent.

Speaking to Citi Business News, GUTA President Clement Boateng said the rate reduction should translate into lower borrowing costs for businesses, improve access to credit, and ease the cost of doing business, particularly for traders and small- and medium-sized enterprises (SMEs) across the country.

“That was something the governor announced, and I was very pleased. But we believe it should be fast-tracked. The governor shouldn’t wait until the end of his term for businesses to access single-digit lending rates,” he said.

He added, “Processes must be accelerated so that within the next year or two, lending rates move to single digits, allowing businesses to borrow more easily.”

Businesses have long complained about tight credit conditions and high borrowing costs, which have constrained expansion and investment.

With recent improvements in macroeconomic indicators—particularly easing inflation and relative currency stability—many are hopeful that lending rates will continue to decline, improving access to affordable financing in the near future.