Editorial: BoG Governor woos private investors…

Bank of Ghana Governor Dr. Johnson Asiama indicated government’s renewed commitment to long-term investment partnerships at a private investor roundtable convened by Invest Africa and Standard Chartered on the sidelines of the African Development Bank’s Annual Meetings.

Dr. Asiama indicated that Ghana’s economy is “back on a credible path” after a period of volatility marked by inflation, currency depreciation and fragile investor sentiment. He emphasised consistency in policy, improving fundamentals and a commitment to shared-value partnerships.

After a turbulent 2024, the country has seen a sharp rebound in several key indicators. Real GDP grew 5.7 percent last year, exceeding expectations and is forecast to expand four percent in 2025 despite global headwinds.

Additionally, the cedi has appreciated 21.5 percent year-to-date – reversing 19.2 percent depreciation in the previous year.

Inflation has edged down from 23.8 percent in December to 21.2 percent in April, aided by tighter monetary policy and a stabilising exchange rate. Foreign reserves climbed to             US$10.67billion – equivalent to 4.7 months of import cover – while Ghana posted a current account surplus of US$2.12billion in the first quarter.

Dr. Asiama pointed to a coordinated macroeconomic strategy focused on stability, confidence and growth. The Bank of Ghana has maintained a tight monetary stance, reinforced liquidity management through active open market operations and worked closely with the Ministry of Finance on fiscal consolidation.

Sustaining investor confidence, he noted, will depend on further reforms in public sector governance, financial intermediation and the investment climate. The Bank’s recent decision to hold its policy rate steady at 28 percent reflects that strategy.

Asiama said the Monetary Policy Committee was unanimous in its decision, aimed at consolidating disinflation gains and keeping expectations anchored.

Also, the central bank is shifting from passive tools like the unremunerated cash reserve ratio to a more active open market operations regime – moves expected to improve liquidity control and, over time, support targetted credit expansion to the private sector.

According to the Governor, stricter enforcement of FX rules bolstered reserve accumulation and transparency in market pricing has helped support the cedi’s recovery.

“The cedi’s performance is a reflection of real reforms, real discipline and real resilience,” he stated.

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