The real interest rates remained positive in April 2026, an indication that the monetary policy stance remained tight in April 2026, the May 2026 Bank of Ghana’s Monetary Policy Report has disclosed.
According to the Bank of Ghana, interest rate developments in April 2026 continued to reflect the less restrictive monetary policy environment and the sustained disinflation process observed since the second half of 2025.
Relative to April 2025, the policy and market interest rates declined, consistent with easing inflationary pressures and improved macroeconomic conditions.
The Monetary Policy Rate declined to 14.0% from 28.0% in April 2025. The 14-percentage point reduction in the policy rate reflected the cumulative monetary easing undertaken by the Bank of Ghana in response to the continued moderation in inflation and improvements in macroeconomic fundamentals.
Interbank Weighted Average Rate
The corresponding downward adjustment in the Interbank Weighted Average Rate (IWAR) reinforced the easing monetary policy stance.
The IWAR declined to 10.4% in April 2026 from 26.9% a year earlier. Similarly, the average lending rate of banks eased to 16.3% from 27.4% in April 2025, reflecting a pass-through of the reduction in the policy rate to market rates.
Real rates, however, remained broadly positive, on account of the faster pace of disinflation, relative to the declines in nominal rates during the review period.
Treasury Bills Market
Developments in the Treasury bill market were consistent with the general decline in interest rates.
The 91-day, 182- day, and 364-day Treasury bill rates declined sharply to 4.9%, 6.8% and 10.0% respectively, compared with 15.5%, 16.2% and 18.6% a year earlier. This decline reflects sustained investor demand at the short end of the curve, improved inflation expectations, and ongoing efforts to reduce Government’s domestic financing costs.
The rates on medium- to long-term Government securities such as the 2-year, 3-year, 5-year, 6-year, 7-year, 10-year, 15-year, and 20-year bonds, however, remained broadly unchanged, given limited activity in that segment of the market.
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