Ghana’s Reference Rate (GRR) has plunged to 11.71% for March 2026, a sharp drop from February’s 14.58%. This marks one of the steepest monthly declines in the key benchmark that banks use to set loan prices.
The Ghana Association of Banks announced the change in a notice effective today, March 4, 2026.
The GRR acts as the foundation for commercial lending, calculated from end-of-month Treasury bill rates, average interbank rates, and the Monetary Policy Rate.
Falling yields on short-term government securities—now in single digits and looser interbank conditions drove the cut. It follows a smaller trim from January’s 15.58% to February’s 14.58%.
Banks now have space to lower lending rates, though decisions will factor in borrower risk, costs, and credit checks. Sector averages sit around 22%, per recent data, with changes rippling through loan repricings soon.
This shift highlights how easing money market rates and better liquidity are flowing into cheaper credit across Ghana’s financial system.
Story by: Mercy Addai Turkson#ahotorfmonline.com