The new governor of the Bank of Ghana, Mr. Kwesi Amissah-Arthur chaired his first Monetary Policy Committee (MPC) meeting this week. And today Friday November 20, 2009 the MPC will present the conclusions of the meeting to the media at a press conference at the central bank.

The key expectations of most Ghanaians, especially the business sector is a cut in the prime rate which has stood at 18.5% for sometime now.

The bank kept the rate at 18.5% despite the effects of the global economic crisis as part of its strategies to achieve economic stability and control inflation.

Ghana’s inflation in April 2009 was 20.56%, and at that rate, the bank predicted that inflation would drop to around 12.5% by the end of the year.

The country’s inflation however has dropped to 18.04% in October, the fourth consecutive fall in the year sparking hopes of economic recovery and a possible reduction in the prime rate. It is however doubtful if the predicted 12.5% would be achieved at the end of the year.

Business leaders, especially in the manufacturing sector have been pushing for a cut in the interest rate, indicating that the rate has increased the cost of doing business.

And as Mr. Amissah-Arthur meets the media to say how the economy has been doing since he took office on October 1, 2009, would he cut the rate?

           
                                                                                                                                                                                                                                                                                                                                        Details soon.