The announcement was made by the governor of the central bank, Mr. Kwesi Amissah-Arthur at a press conference in Accra.
The rate has been pegged at 13.5% since July 2010.
Some of the factors that influenced the rate cut according to the governor included the country’s declining inflation rate. Inflation declined from 9.13% in March to 9.02% in April. In February the inflation rate was 9.16%.
Mr. Amissah-Arthur also said it was important to cut the rate further for the easing of credit by the commercial banks to businesses.
By Emmanuel K. Dogbevi