Ghana Reference Rate drops to 10% as further interest rate cuts loom
Ghana's Reference Rate (GRR) declined to 10% for April, down from 11.71% in March 2026. The drop reinforces its role as a critical guide in determining the cost of credit in the country. The decline was driven mainly by a further fall in Treasury bill rates into single-digit territory, alongside a slight dip in the interbank rate and a reduction in the Bank of Ghana's Monetary Policy Rate to 14%. The March 2026 GRR was influenced by key variables, including end-March Treasury bill rates, the average interbank rate for March, and the Monetary Policy Rate.
Average lending rates currently hover around 20%. Borrowers could potentially access loans at around 19%, depending on their risk profile and negotiations with banks. Some banks are already offering facilities at the GRR, minus 5 percentage points, to their most creditworthy clients. Loans contracted in March 2026 on variable rates are likely to see further reductions in the coming days. The GRR has been trending downward in recent months, falling from 15.58% in January to 14.58% in February, and then to 11.71% in March 2026. In December 2025, the rate dropped to 15.9% following a 350-basis-point cut in the policy rate to 18%, alongside a slight decline in Treasury bill rates. Earlier, in November 2025, the GRR edged up to 17.96% from 17.86%, driven by increases in Treasury bill and interbank rates. Overall, the rate trended downward through 2025, falling from 29.72%
Quick Summary
Ghana's Reference Rate, a key lending benchmark, has seen another decline. This adjustment has stakeholders watching closely- but what could it mean for businesses and borrowers?
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