Ghana’s inflation continues downward trend to 13.3% in March

Ghana’s inflation has dropped to 13.3% in June from a February rate of 14.2%, making this month the ninth consecutive time the country’s inflation has fallen and the lowest in 23 consecutive months.

The downward trend in the country’s inflation led to a drastic cut in the policy rate of the central bank. The Bank of Ghana cut its policy rate by 200 basis points from 18% to 16% in February.

The country’s inflation has been predicted to drop further this year.

The Monetary Policy Committee (MPC) of the Bank of Ghana began its meeting Monday April 12, 2010 to review the economy and to determine a possible new rate cut after the last one in February.

Sampson Akligoh, an analyst with Databank Financial Services told the Bloomberg news service that “the decline in inflation will reinforce a rate cut this week.”

By Emmanuel K. Dogbevi