The Asantehene, Otumfuo Osei Tutu II, has called on the Bank of Ghana (BoG) to fast-track measures to reduce interest rates, warning that Ghana’s economic recovery will be unsustainable without affordable credit to stimulate domestic private investment.
Speaking during a visit to the BoG headquarters in Accra, the Asantehene described the central bank as an institution whose decisions shape the everyday lives of Ghanaians.
“Whether we have shelter over our heads, food on the table, and the ability to educate our children and care for our families,” he said, stressing, “This is no exaggeration.”
He explained that the work of the Bank of Ghana affects every segment of society, from households to businesses. While acknowledging recent gains in macroeconomic stability, including signs of cedi stabilization, Otumfuo cautioned against complacency and urged policymakers to focus more deliberately on reducing borrowing costs.
“I hope the unavoidable attention being paid to the cedi does not mean we are relegating the second mandate of the Bank—which has to do with interest rates—to the back burner,” he said.
Although interest rates have started to edge downward, the Asantehene stressed that past experience shows the pace of reduction must be faster if businesses are to grow and remain competitive.
“Domestic private investment cannot happen at the current cutthroat interest rate regime,” he stated, challenging the Bank’s leadership to adopt innovative approaches that move the economy from high-interest constraints toward an environment that supports business expansion and wealth creation.
Highlighting the importance of domestic investment amid global uncertainty, Otumfuo warned that Ghana cannot rely heavily on foreign investment to drive growth amid rising geopolitical tensions.
“No amount of government investment can scratch the surface of what we need to build a sound economy,” he said. “This moment calls for a massive push to stimulate domestic private investment in industry.”
He emphasized that affordable credit remains the most critical factor for unlocking the productive potential of Ghanaian businesses and entrepreneurs.
The Asantehene also acknowledged that the country has begun to “breathe easy” as the cedi shows signs of stability on the foreign exchange market. However, he cautioned against premature celebration.
“These are only the earliest tools of progress,” he said, echoing earlier remarks by the Governor of the Bank of Ghana that stability must be sustained before declaring success. “We must be careful not to start feasting before the true state of the harvest is known.”
