The Monetary Policy Committee of the Bank of Ghana has maintained the policy rate at 25.5 per cent, Bank of Ghana Governor Dr Abdul-Nashiru Issahaku has announced.

Addressing a press conference in Accra on Monday January 23, he said: “The Committee viewed the declining trend observed in the headline inflation, core inflation, and inflation expectations as positive. Nonetheless, there are concerns regarding the inflation outlook which could be impacted by the pass-through effects of the recent exchange rate volatility, persistent increases in food inflation and the fiscal outturn. There is, therefore, the need to return to the path of fiscal consolidation to complement the tight monetary policy stance to deliver on the medium term inflation target.

“Although growth conditions remain modest, prospects are positive, underpinned by improved oil and gas production from the new oil fields, the gradual rebound in growth in private sector credit and improved sentiments and expectations. In the outlook, the risks to growth include policy uncertainties especially in the global environment

“In conclusion, the committee viewed the risks to inflation and growth as balanced and decided to maintain the Monetary Policy Rate at 25.5 per cent.”

The next Monetary Policy Committee meeting is scheduled for Friday, March 24, 2017. The meeting will conclude on Monday, March 27, 2017 with an announcement of the policy decision.