High Borrowing Costs Remain Concern Despite Economic Gains — Kyei-Mensah-Bonsu

October 7, 2025 

Former Majority Leader Osei Kyei-Mensah-Bonsu has commended the government's economic performance but warned that high lending rates could undermine recent gains.

The former lawmaker praised the strengthening of the Cedi and the drop in inflation to 9.4% as a "stupendous achievement".

However, he expressed concern that borrowing costs remain high despite improvements in other economic indicators.

"What should concern us now is the cost of borrowing because it is not reflecting in that. If the interest rate is still hanging up there it means some of the fundamentals are not talking to each other and we need to interrogate that," Kyei-Mensah-Bonsu said.

He stressed that the economic gains must translate into benefits for ordinary Ghanaians.

The former MP also credited the previous administration for leaving over $9 billion in international reserves, which he said helped stabilize the country's financial position.

According to the Bank of Ghana's latest Monetary Policy Report, average lending rates have declined from 26.6% to 24.2%. The 91-day Treasury bill rate also fell from 13.4% in July to 10.3% in August 2025.

Kyei-Mensah-Bonsu called for better coordination between monetary and fiscal policies to sustain the economic improvements and ensure they benefit all Ghanaians.