WEEKLY FINANCIAL MARKET REPORT SUMMARY FROM 27TH- 31st MARCH, 2017 TEL: +233(0) 302798704/ 307034122 EMAIL:
[email protected] MACROECONOMIC INDICATORS NEWS HEADLINES BOG REDUCES POLICY RATE TO 23.5% Index 2016 Close (%) Previous (%) Current (%) Change (%) The Monetary Policy Committee (MPC) of the Bank of Ghana has reduced the Inflation(CPI) 15.40 13.30 13.20 -0.10 policy rate to 23.5%. This represents a 200 basis point reduction from the Policy Rate 25.50 25.50 23.50 -2.00 previous figure of 25.5%. Governor of the Central bank, Dr. Abdul Nashiru Issahaku disclosed this at the press briefing to conclude the second MPC meeting for 2017. Dr. Issahaku cited the declining inflation among others as MACROECONOMIC TARGETS FOR 2017 reasons for the drop in the policy rate. This is the second time that the MPC has reduced the policy rate after keeping it unchanged at 26% for a greater Index (%) part of 2016. The policy rate is the rate at which commercial banks borrow Overall Real GDP(Including Oil) Growth 6.30 from the central bank for onward lending to their customers. Non- Oil Real GDP Growth 4.20 http://citibusinessnews.com/ An End of Year Inflation Target 11.20 BOG GOVERNOR RESIGNS The Central Bank Governor, Dr. Abdul Nashiru Issahaku has resigned. Sources have gathered his resignation took effect from the 1st of April, 2017. GOG TREASURY BILL RATES It’s unclear what led to his resignation but the Governor is reported to have Fixed Income Previous Week (%) Current Week (%) Change (%) cited personal reasons for the move.