BoG likely cut its policy rate on March 28 – Deloitte

Deloitte West Africa is predicting that the Bank of Ghana is likely to cut its Monetary Policy Rate from the present 27% when it announces developments in the Ghanaian economy on March 28, 2025.

In its analysis of Ghana and Nigeria’s inflation outlook, the professional services firm said the fall in global commodity prices will positively impact domestic fuel prices.

The policy rate cut is expected to ease the cost of credit and reduce businesses’ operational costs.

Nonetheless, Deloitte, wants fuel taxes such as the Special Petroleum Tax, the Price Stabilization and Recovery Ley may need to be reviewed to keep fuel prices affordable.

Hopefully, the current stable cedi will address imported inflation.

Ghana’s inflation fell for the second consecutive month to 23.1%b in February 2025 as food and non-food sub-indices declined.

The professional services firm this said is an indication of the start of a sustained downward trend. However, it will still be higher than the Bank of Ghana’s target of 8%+/-2.

Furthermore, it alluded that the positive real return on investments will increase as inflation falls. In February 2025, Alcoholic Beverages (25.60%), Energy Prices.