Head of Economics Department at the University of Ghana, William Baah-Boateng has commended the Bank of Ghana (BoG) for its swift approach to increase the policy rate by 300 basis points to 22%, after an Emergency Monetary Policy Committee. Speaking in an interview on JoyNews’ Business Edition of PM Express, Dr. Baah-Boateng indicated that had the BoG not intervened, the country’s inflation rate would have been 100%. In economics, there is something we call counterfactual so if the problem is coming and they don’t even step in at all, perhaps we would have been in the 100’s,” he said. Currently, year-on-year inflation shot up to 31% in July 2022, latest data from the Ghana Statistical Service (GSS) has revealed. Dr. Baah-Boateng’s comments are in relation to the decision by the Bank of Ghana to increase the policy rate by 300 basis points to 22%, after an Emergency Monetary Policy Committee meeting on August 17, 2022. The move is part of measures to address the risks to the ...