Loan growth at Ghana’s UT Bank Ltd. will be slower this year after the central bank increased the cash-reserve ratio and as treasury bill rates rose, according to Deputy Managing Director Pearl Esua-Mensah.
Ghana’s cedi, the worst-performing African currency in the first quarter, could depreciate another 20 percent this year as foreign-exchange reserves recede and inflation accelerates, according to JPMorgan Chase & Co.
The Bank of Ghana will announce foreign-exchange policies as soon as the end of February to help stabilize the cedi, Johnson Asiama, head of the economic analysis and monetary policy coordinating committee, said.
Ghana’s President John Dramani Mahama and Finance Minister Seth Terkper justified steps taken to restrict foreign-currency trading in the West African nation, saying it will help strengthen confidence in the cedi.
Sadiq Abubakar is seeing his hopes of an annual bonus fade as Ghana’s central bank hoards dollars, cutting foreign-exchange trading to the least in almost three years and sending the cedi to an all-time low.
The Bank of Ghana will probably raise the benchmark interest rate for the first time since May to tame inflation that quickened the most in more than three years because of a weak currency and higher fuel prices.
Ghana’s central bank will probably increase interest rates for the first time in nine months tomorrow to curb depreciation of the currency, which has fueled inflation in the world’s second-largest cocoa producer.