The Bank of Ghana kept its prime lending rate steady at 17 percent at its November 2018 meeting, as widely expected. Policymakers noted that the disinflation process continued but at a slower pace, remaining within the target range (8 +/- 2 percent). The annual inflation rate fell to 9.5 percent in October from 9.8 percent in September mainly due to lower cost of non-food and it is expected to remain within the medium-term target range, still there are risks including global trade tensions, a stronger US dollar, higher US interest rates and global inflation. The Committee added that the economic growth has been modest and it is projected to be at 5.6 percent in 2018, amid further increases in crude oil production due to the resolution of the Ghana and Ivory Coast maritime dispute while the non-oil growth is expected to be at 5.8 percent. The country rebased its nationals accounts from 2006 prices to 2013 in the second quarter of the year. Interest Rate in Ghana averaged 18.08 percent from 2002 until 2018, reaching an all time high of 27.50 percent in March of 2003 and a record low of 12.50 percent in December of 2006.
Interest Rate in Ghana is expected to be 17.00 percent by the end of this quarter, according to Trading Economics global macro models and analysts expectations. Looking forward, we estimate Interest Rate in Ghana to stand at 15.00 in 12 months time. In the long-term, the Ghana Interest Rate is projected to trend around 14.75 percent in 2020, according to our econometric models.