Reduction in policy rate by Central Bank good news – Raymond Abaifa

Financial Analyst, Raymond Abaifa, says the reduction in the policy rate by the Bank of Ghana is welcome news.

He however noted that it will be a while before this will reflect in lending by the Commercial Banks. 

The move he said, will stimulate growth in the economy. 

Speaking to Radio Ghana's Felix Cofie on the reduction of 200 basis points in the policy rate, Mr. Abaifa, said the regulator, which is the Central Bank, must have measures in place to ensure that Commercial Banks comply with the new Policy directive. 

Mr. Abaifa noted that the Bank of Ghana can do more regarding the reduction in the policy. 

He however commended the Central Bank for the move as this will encourage industries to borrow more to expand.

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