Bank of Ghana’s inflation targeting strategy praised for driving economic growth

In a recent event commemorating the launch of the book “Central Banking in Ghana and the Governors (Institutional Growth and Economic Development),” the First Deputy Governor of the Bank of Ghana, Dr. Maxwell Opoku Afari, lauded the inflation targeting framework as the cornerstone of the central bank’s monetary policy formulation strategy.

Dr. Opoku Afari emphasized that inflation targeting has emerged as the most robust strategy to achieve central banks’ objectives, including the Bank of Ghana’s. Drawing from the book’s account of the 65-year history of the central bank, authored by Ivor Agyeman Duah, he underscored the transformative impact of this strategy on Ghana’s growth trajectory.

The book serves as a comprehensive chronicle of the challenges and triumphs experienced by the 14 Governors who have steered monetary policies in Ghana. Its pages unravel the story of how the Bank of Ghana has ascended to become a gold standard for inflation targeting, with its monetary policy committee eagerly anticipated for its monthly press releases that shed light on the state of the nation’s economy.

In his address, Dr. Opoku Afari commended the author for his meticulous work, asserting that the book would not only deepen public understanding of the central bank’s operations but also illuminate the debated concepts of institutional operational independence and accountability within central banking. He further expressed confidence in the book’s value as an indispensable resource for central bankers, academics, and economics students both within and beyond the borders of Ghana.

The commendation from the First Deputy Governor reflects the Bank of Ghana’s unwavering commitment to employing sound monetary policies to drive sustainable economic growth. As Ghana continues its journey towards financial stability and prosperity, the central bank’s inflation targeting framework stands tall as a testament to the effectiveness of prudent policy formulation and implementation.

The launch of “Central Banking in Ghana and the Governors (Institutional Growth and Economic Development)” provided a platform to celebrate Ghana’s central banking heritage while reaffirming the Bank of Ghana’s pivotal role in shaping the nation’s economic landscape through its unwavering dedication to the inflation targeting strategy.

Source: Norvanreports