AGI worried about policy rate increase

The Association of Ghana Industries is worried  that an increase in the policy rate from 24 to 25 percent will further increase cost of credit and  cost of business for the private sector.

The AGI is therefore urging the central bank to look for innovative ways of stabilising the economy rather than inflation targeting.

Meanwhile the Managing Director of AFB financial Service Arnold Parker believes increasing the policy rate is in line with current trends in the Ghanaian economy.

Just like the Central bank, he believes that inflation expectation remains elevated.

He is therefore urging the public to be prudent in spending as in the face of an increase in interest rates in the days ahead.


GBC