International auditing firm Deloitte Ghana has called on the government to reduce its reliance on foreign loans to stabilize the Monetary Policy Rate.
This recommendation follows the Central Bank’s decision to lower the Monetary Policy Rate from 29% to 27% during the 120th Monetary Policy Committee meeting, aimed at decreasing interest rates and alleviating the financial burden on borrowers.
Speaking on behalf of the Country Managing Partner at Deloitte Ghana during the launch of the First Ghana CEO Presidential Manifesto Gala Dinner, lead tax partner George Ankomah urged the government to seek local alternatives within the economy instead of borrowing from foreign sources.
“The reduction of the policy rate is always good but for me, I think what is important now is for us to stabilise, is also for the government to look at its appetite for foreign loans.
“I believe that we focus on other areas within the economy to reduce our appetite for foreign loans and, for that matter, whenever we need to pay out in terms of interest and debt repayment. That gives us a certain comfort in the economy in terms of the exchange rate. Given that policy rate going down businesses will be able to borrow and be able to run their businesses,” he stated.
