The central bank believes that targeted fiscal actions are necessary to stabilize prices and maintain macroeconomic stability since rising food prices are driving up family and business spending.
In a Bloomberg interview on inflationary trends, Dr. Asiama admitted that pressures on food prices were the main reason why the most recent inflation reading was higher than anticipated. He underlined that policy action is necessary to address these structural challenges.
The most recent number was slightly higher, but we believe that moving forward, food inflation will be the primary source of inflationary pressures. Given that it was mostly structural in character, several measures aimed at containing food inflation should be included in the upcoming budget statement. "I am confident that we will see a return to the disinflation path if that is done," he said.
Additionally, Dr. Asiama disclosed that the Monetary Policy Committee (MPC) of the Bank of Ghana will convene next month to reevaluate the state of the economy and decide on a suitable course of action.
Additionally, Dr. Asiama disclosed that the Monetary Policy Committee (MPC) of the Bank of Ghana will convene next month to reevaluate the state of the economy and decide on a suitable course of action.
"We will review the circumstances and make a suitable conclusion at our next monetary policy meeting, which is scheduled for next month. Therefore, we will start to see inflation drifting back to its goal path once we have a suitable monetary policy stance in place and food price inflation is under control," he continued.