Ghana’s borrowing environment is showing further signs of easing following a decline in the Ghana Reference Rate (GRR) to 10.01%, a development that could offer additional relief to individuals and businesses seeking credit from commercial banks.

Bank of Ghana headquarters

The reduction signals continued improvement in benchmark lending conditions and raises expectations that commercial banks could gradually lower interest rates on selected loan facilities.

Customers at a commercial bank

The Ghana Reference Rate serves as an important benchmark for determining the interest rates charged by commercial banks on loans. It provides a common reference point for financial institutions when setting their lending rates.

Business owners and borrowing costs

A lower benchmark could benefit businesses seeking financing for expansion, working capital, equipment purchases and other investment activities. Households with loans linked to variable interest rates may also benefit if banks pass on the reduction.

Businesses anticipating cheaper credit

However, the decline does not automatically mean that every borrower will immediately enjoy cheaper credit. Banks consider additional factors, including customers’ creditworthiness, collateral, operating expenses and the cost of mobilising deposits, when determining their final lending rates.

Ghana’s government accepted approximately GH¢14.97 billion through Treasury bill auctions in October 2026, falling short of its overall borrowing target despite strong investor demand for short-term government securities.

Data from the October auction results indicate that investors submitted bids totalling approximately GH¢19.97 billion against a cumulative target of GH¢16.27 billion. However, the Treasury accepted only GH¢14.97 billion, leaving about GH¢5 billion in bids unaccepted.

The figures represent an oversubscription of approximately 22 per cent, suggesting that investor interest remained relatively strong throughout much of the month.

The government’s borrowing activities were conducted through three main Treasury bill instruments: the 91-day, 182-day and 364-day securities.

The 91-day Treasury bill attracted the largest share of investor interest, receiving bids worth approximately GH¢1.51 billion at the final October auction. The government accepted GH¢1.23 billion of those offers.

The 182-day instrument attracted GH¢423.74 million in bids, with GH¢395.74 million accepted, while the 364-day bill received GH¢613.83 million in bids, of which GH¢292.12 million was accepted.

Investor demand moderates towards month-end

Despite the strong cumulative demand recorded during October, investor appetite weakened at the final auction of the month.

Total bids declined by approximately 40 per cent week-on-week to GH¢2.55 billion, compared with the previous week’s figures.

Although bids exceeded the final auction target of GH¢2.45 billion by about four per cent, the Treasury accepted only GH¢1.92 billion, reflecting its selective approach to domestic borrowing.

Treasury bill yields continue to decline

Interest rates on all three Treasury bill maturities also recorded marginal declines during the final auction.

The 91-day bill yield dropped to 4.60 per cent, while the 182-day instrument declined to 6.26 per cent. The 364-day bill recorded a larger reduction, falling to 9.60 per cent.

The downward movement in yields suggests that the government was able to secure some domestic financing at lower interest rates, although future borrowing costs will depend on investor demand, market liquidity and broader economic conditions.

The October figures highlight the government’s continued reliance on the domestic debt market to meet its financing requirements, while its decision to reject a substantial portion of submitted bids reflects a cautious approach to managing borrowing costs.

Attention will now turn to subsequent Treasury bill auctions to determine whether investor demand and declining yields can be sustained.

Ghana’s bond market has recorded a significant decline in trading activity, with turnover falling by 44 per cent to GH¢5.03 billion, reflecting a slowdown in transactions during the period under review.

The decline represents a considerable reduction in the volume of bonds traded compared with the previous reporting period, when market turnover stood at a substantially higher level.

Bond market turnover is an important indicator of activity within the fixed-income market, providing an indication of how actively investors are buying and selling government and other debt securities.

The latest figures suggest that investors engaged in fewer trading transactions during the period, although the decline in turnover alone does not necessarily indicate reduced investor confidence.

Market activity can be influenced by several factors, including prevailing interest rates, inflation expectations, government borrowing requirements, liquidity conditions and investor appetite for fixed-income securities.

For Ghana, the bond market remains an important component of the domestic financial system, providing the government with a platform to raise funds while offering institutional and individual investors opportunities to invest in debt instruments.

The reduction in turnover to GH¢5.03 billion highlights the changing dynamics of the country’s fixed-income market and raises questions about investor positioning and liquidity conditions.

Market participants will be watching subsequent trading figures to determine whether the decline represents a temporary slowdown or the beginning of a more sustained reduction in bond market activity.

MTN Ghana has reported a significant financial performance for the first nine months of 2026, recording a profit of GH¢7.8 billion while contributing approximately GH¢9 billion to the state through various statutory payments and other government-related obligations.

The figures highlight the telecommunications company’s strong financial position and its growing contribution to Ghana’s public revenue at a time when government continues to pursue measures to strengthen domestic revenue mobilisation.

The GH¢9 billion contribution represents a substantial financial inflow to the state, underscoring the important role played by major private-sector companies in supporting national development through taxes, levies and other statutory payments.

MTN Ghana’s reported GH¢7.8 billion profit also reflects the scale of its business operations during the January-to-September period, supported by demand for telecommunications services, mobile connectivity and digital financial solutions.

The company’s performance comes amid the increasing importance of the telecommunications industry to Ghana’s economy, particularly as businesses and individuals rely more heavily on mobile technology, internet services and digital transactions.

Ghana’s telecommunications sector remains a major contributor to economic activity, providing employment, supporting businesses and facilitating financial inclusion through mobile money services.

The figures also raise questions about the broader economic impact of the company’s operations, particularly the relationship between corporate profitability, government revenue and investment in the country’s digital infrastructure.

As one of Ghana’s leading telecommunications operators, MTN Ghana’s financial results are closely watched by investors, policymakers and industry stakeholders.

The company’s ability to maintain strong earnings while making substantial payments to the state could further reinforce its position as a major player in Ghana’s corporate and telecommunications landscape.

However, the breakdown of the GH¢9 billion payment, including the respective contributions from taxes, levies and other statutory obligations, will be important in assessing the full impact of the company’s payments on government revenue.

MTN Ghana’s nine-month performance therefore provides a significant indication of the company’s financial strength and its contribution to Ghana’s economy.

The Consumer Unity and Trust Society (CUTS) has raised concerns over serious safety, enforcement and national security lapses following reports that a loaded transit truck was left unattended for several weeks.

The organisation says the incident exposes significant weaknesses in Ghana’s transit cargo monitoring systems and raises questions about the effectiveness of security checks and regulatory enforcement along the country’s transport corridors.

According to CUTS, the prolonged presence of a loaded truck without adequate monitoring highlights potential gaps in the supervision of transit goods and the responsibilities of agencies mandated to safeguard the country’s borders and transport infrastructure.

The development has renewed concerns about the vulnerability of transit cargo to theft, diversion, tampering and other activities that could undermine national security.

CUTS is urging the relevant authorities to investigate the circumstances surrounding the incident and establish why the truck was allowed to remain unattended for such an extended period.

The organisation also wants stronger coordination among security agencies, customs officials and transport regulators to ensure that transit cargo is properly tracked from its point of entry to its intended destination.

The incident, it argues, should serve as a warning about the need to strengthen enforcement mechanisms and close loopholes that could be exploited by individuals involved in illicit activities.

Beyond investigating the specific case, CUTS is calling for more effective monitoring systems, accountability and improved security protocols to prevent similar occurrences.

The organisation maintains that protecting transit cargo is not only a matter of trade facilitation but also an important national security responsibility.