A statement issued by the bank in Accra yesterday said the meeting will end with a decision on the appropriate positioning of the bank’s policy rate.
The decision, according to the statement, will be announced at a press conference on Monday, September 19, 2016 at 11.00 a.m. at the bank’s head office.
The MPC is responsible for formulating and implementing policy in the areas of money, banking and credit with the main aim of maintaining stable prices conducive to balanced and stable economic growth as well as promoting and preserving monetary stability. The committee sets an interest rate it judges to be consistent with an inflation target and an objective of growth.
It is made up of seven members – the Governor, the two Deputy Governors, the head of the Bank’s Research Department, the head of Banking Operations, and two external members appointed directly by the Minister of Finance. The external directors may either come from academia or from the private sector. The appointment of external members is designed to complement the expertise within the Bank of Ghana.
The committee meets six times each year to deliberate on the economy. Its meetings are held bi-monthly beginning February of each year. Each bi-monthly meeting runs for two days, followed by a press briefing.
In line with its strategy, the Bank of Ghana explains its policy actions and decisions on interest rates to the public. The thinking and the data that informs the decisions of the MPC is made public through a press release.
According to the bank, because transparency promotes credibility which in turn enhances efficiency of the transmission mechanism for monetary policy, members of the committee as well as staff of the bank often engage in public outreach through lectures and other official public engagements, to explain the MPC process to the wider public.