The Bank of Ghana (BoG) has disclosed that the country’s economy is firmly rebounding, with the exchange rate stabilizing, inflation declining, and the quantity of foreign exchange reserves increasing.

The exchange rate has stabilized, inflation has decreased, and the amount of foreign exchange reserves has grown as the country’s economy is firmly on the mend.

Speaking to the media yesterday in Accra, the governor of the BoG, Dr. Ernest Addison, mentioned that the central bank’s monetary policy committee had highlighted the macroeconomic conditions were generally improving, with reasonably strong economic growth and a decline in inflation in August.

“These developments provide evidence that the policy mix under the three-year IMF Extended Credit Facility (ECF) is beginning to yield results,” he stated.

According to the July 2023 update of the bank’s CIEA, the robust growth outturn seen in the first half of 2023 is anticipated to continue in the third quarter.

According to the Governor, Ghana’s PMI also supports the growth outlook, suggesting better business conditions.

“The results from the confidence surveys so far also indicate continued improvement in business and consumer sentiments influenced by the relative stability in the Ghana cedi, and more recently the resumption of the disinflation process,” he pointed out.

According to Dr. Addison, the improvement in macroeconomic conditions will likely cause the increase in confidence to last the rest of the year.

Regarding the application of fiscal policy, he said that while practices have so far been in line with the IMF-supported program, there are still issues with revenue mobilization that necessitate further work to protect the revenue-led fiscal adjustment program.