Governor of the Bank of Ghana (BoG), Dr. Johnson Asiama, has announced an ambitious goal to reduce lending rates to 10% or lower within the next four years. According to him, this move is aimed at boosting private sector investment and driving economic growth.
Currently, lending rates in Ghana stand at an average of 27.4%, posing a major challenge for businesses particularly small and medium-sized enterprises seeking affordable credit.
Speaking at the AGI Corporate Forum in Accra, Dr. Asiama underscored the urgent need for structural reforms to address this issue.
“My vision is to see lending rates in this country fall to less than 10 percent before the end of my four-year term. It is doable—why do we think it is not?” he stated.
He emphasized that the BoG is in active discussions with commercial banks to implement sustainable reforms that will drive down interest rates. He also called for stronger industry-led self-regulation and collaboration.
“I want to see more self-regulation. As heads of banks, you know what’s best for the industry. Why wait for me to come after you? I expect you to collaborate and bring proposals forward. I will simply play the role of referee,” Dr. Asiama noted.
The Governor reaffirmed the Central Bank’s commitment to fostering a stable macroeconomic environment, pointing to progress in reducing inflation and stabilizing the Ghanaian cedi as key enablers of this vision.
“I believe that when businesses succeed, society succeeds. What you provide is more than a public good. In every way we can, we will work together,” he assured industry stakeholders.
In response, the President of the Association of Ghana Industries (AGI), Dr. Humphrey Ayim-Darke, welcomed the Governor’s commitment but urged the BoG to ensure that macroeconomic improvements result in tangible benefits for businesses.
“We are meeting at a time when our economy is showing signs of resilience and recovery. Declining inflation, a stabilized exchange rate, and renewed economic confidence give us cautious optimism. But these gains must be consolidated into tangible benefits for businesses,” Dr. Ayim-Darke said.
The target by the Central Bank, if achieved, will be welcoming news in Ghana’s credit environment, potentially unlocking new capital flows, improving business competitiveness and strengthening the country’s growth trajectory.
