By Prince Ahenkorah
The Current lending rates in Ghana hovers around 27.4%, making access to affordable credit a significant hurdle for businesses, especially small and medium-sized enterprises.
The Governor of the Bank of Ghana (BoG), Dr. Johnson Asiama, in his quest to make borrowing cheaper and stimulate economic activities, has set an ambitious target to lower lending rates to 10% or less within the next four years.
This he says is to stimulate private sector investment and accelerate economic growth.
Speaking at the AGI Corporate Forum in Accra, Dr. Asiama stressed the urgency of structural reforms to tackle lending rate issue.
“My vision is to see lending rates in this country fall to less than 10 percent before the end of my four-year term. It is doable; why do we think it is not?” the Governor asserted.
Dr. Asiama said BoG is engaging directly with commercial banks to align on reform measures that will bring down rates sustainably.
He called for more industry-led self-regulation and cooperation to advance these efforts.
“I want to see more self-regulation. As heads of banks, you know what’s best for the industry. Why wait for me to come after you? I expect you to collaborate and bring proposals forward. I will simply play the role of referee,” he said.
The Governor also expressed the Central Bank’s commitment to creating an enabling macroeconomic environment, citing improved inflation trends and a more stable cedi as key building blocks for this vision.
“I believe that when businesses succeed, society succeeds. What you provide is more than a public good. In every way we can, we will work together,” he told industry leaders.
President of the Association of Ghana Industries (AGI), Dr. Humphrey Ayim-Darke, welcomed the pledge but urged the BoG to ensure that the recent macroeconomic gains are translated into real, measurable relief for industry.
“We are meeting at a time when our economy is showing signs of resilience and recovery. Declining inflation, a stabilized exchange rate, and renewed economic confidence give us cautious optimism. But these gains must be consolidated into tangible benefits for businesses,” Dr. Ayim-Darke said.
The target by the Central Bank, if achieved, will be welcoming news in Ghana’s credit environment, potentially unlocking new capital flows, improving business competitiveness and strengthening the country’s growth trajectory.