Accra: The Bank of Ghana has signaled cautious optimism over the country's economic trajectory in the coming months.
According to Ghana Web, during the 129th Monetary Policy Committee (MPC) meeting, Governor Dr. Johnson Pandit Asiama highlighted improved domestic performance while warning of potential risks from a volatile global environment. Dr. Asiama noted a decline in headline inflation to 3.3 percent in February, marking a significant achievement below the medium-term target band. He emphasized that Ghana's external buffers had strengthened, with gross international reserves now at approximately US$14.5 billion, equivalent to 5.8 months of import cover.
Economic activity is reportedly showing strong momentum, with the Composite Index of Economic Activity growing by 8.4 percent year-on-year at the start of 2026. This growth is supported by bank credit, industrial output, trade, and household consumption. Despite these gains, the BoG Governor cautioned about the external environment's significant shift, particularly due to the escalation of conflict in the Middle East.
Dr. Asiama mentioned the risks associated with sustained oil price increases, which could lead to imported inflation and necessitate policy tightening. He also discussed the Ghana Accelerated National Reserve Accumulation Programme (GANRAP), which aims to raise reserves to 15 months of import cover by 2028, highlighting its importance for macroeconomic resilience.
The soundness of the banking sector was also a point of emphasis, with improvements in asset quality over the past year. Dr. Asiama stressed the importance of balancing domestic successes with external risks and urged the MPC to make decisions that sustain progress and guide policy through uncertain times.