Accra, Ghana – The Bank of Ghana (BoG), led by Governor Dr. Johnson Asiama, convened a post-Monetary Policy Committee (MPC) engagement with bank CEOs on June 3, 2025, where he underscored the urgent need for deeper discipline, fairness in pricing, and greater alignment between policy and market behaviour.
The Governor announced a series of significant reforms aimed at bolstering financial stability and integrity, following the MPC’s unanimous decision to maintain the policy rate at 28 percent. This decision, he noted, reflects a commitment to sustaining disinflation, which has seen headline inflation drop to 21.2 percent in April, alongside a sharp 24 percent appreciation of the cedi against the US dollar this year and a record current account surplus.
Among the immediate changes, the BoG is rolling out a new Cash Reserve Ratio (CRR) directive effective June 5, 2025, requiring banks to maintain domestic currency reserves for cedi deposits and foreign currency reserves for FX deposits, a move designed to better align liquidity management with funding structures and enhance discipline in the foreign exchange market.
Furthermore, new consumer protection measures will soon cap Optional Issuer Fees (OIFs) on cross-currency card transactions at 2% and mandate their disclosure, while the Bank will also address concerning practices such as charging interest on inactive credit accounts.
Looking ahead, the central bank is finalizing comprehensive digital lending guidelines, slated for issuance by August 2025, to protect consumers from exploitative online platforms that trap individuals in cycles of hidden fees and harassment.
Simultaneously, a robust directive will be issued to tackle persistently high Non-Performing Loans (NPLs) across regulated financial institutions. This directive will mandate write-offs of fully provisioned loans, cap NPL ratios at 10% by December 2026, tighten restructuring rules, and enforce timely collateral recovery, alongside enhancing NPL reporting and restricting further credit to willful defaulters.
In a move to strengthen local accountability, the BoG will also issue a directive to reinforce local governance and board independence in foreign-owned banks operating in Ghana, prohibiting offshore principals from overriding local credit and risk decisions without prior central bank approval. This measure aims to ensure that Ghanaian boards retain genuine authority over material financial decisions, enhancing regulatory oversight and protecting local interests.
Lastly, the Governor highlighted that the Bank, in collaboration with the Securities and Exchange Commission, is finalizing a comprehensive framework for cryptocurrency regulation, urging banks to prepare for its imminent implementation.
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