{"id":35095,"date":"2025-07-31T14:11:09","date_gmt":"2025-07-31T14:11:09","guid":{"rendered":"https:\/\/www.newsbeep.com\/au\/35095\/"},"modified":"2025-07-31T14:11:09","modified_gmt":"2025-07-31T14:11:09","slug":"bog-rate-cut-too-aggressive-professor-asuming-warns","status":"publish","type":"post","link":"https:\/\/www.newsbeep.com\/au\/35095\/","title":{"rendered":"BoG rate cut too aggressive \u2013 Professor Asuming warns"},"content":{"rendered":"<p class=\"article-image\"><a href=\"https:\/\/www.ghanaweb.com\/GhanaHomePage\/business\/BoG-rate-cut-too-aggressive-Professor-Asuming-warns-1994064?gallery=1\" rel=\"nofollow noopener\" target=\"_blank\"><img loading=\"lazy\" decoding=\"async\" src=\"https:\/\/www.newsbeep.com\/au\/wp-content\/uploads\/2025\/07\/43695040.295.jpg\" alt=\"\u200eProfessor Patrick Asuming is a lecturer at the University of Ghana Business School\" title=\"\u200eProfessor Patrick Asuming is a lecturer at the University of Ghana Business School\" width=\"295\" height=\"172\" \/> <\/a>\u200eProfessor Patrick Asuming is a lecturer at the University of Ghana Business School<\/p>\n<p id=\"article-123\">\u200eProfessor Patrick Asuming, a lecturer at the University of Ghana Business School, has described the Bank of Ghana\u2019s decision to cut its policy rate by 300 basis points as bold and unexpected.<br \/>&#13;<br \/>\n\u200e<br \/>&#13;<br \/>\n\u200eThe Central Bank reduced the rate from 28% to 25% during its July Monetary Policy Committee meeting, citing improved economic stability and a steady drop in inflation.<br \/>&#13;<br \/>\n\u200e<br \/>&#13;<br \/>\n\u200eProfessor Asuming in an interview with Citi Business News on July 30, 2025, believes the move was too sharp, suggesting a smaller cut or no change at all would have been more appropriate. <br \/>&#13;<br \/>\n\u200e<br \/>&#13;<br \/>\n\u200e\u201cPerhaps we could have waited two more months. We could have even been in our medium-term target, then we are on a stronger ground to target policy rate,\u201d he said. <br \/>&#13;<br \/>\n\u200e<br \/>&#13;<br \/>\n\u200eWhile he admits inflation is on a downward path and the cedi has strengthened, he cautions that the economy still faces some risks. <br \/>&#13;<br \/>\n\u200e<br \/>&#13;<br \/>\n\u200eHe stressed that a more cautious approach would have allowed the Bank of Ghana to better assess whether the positive trends are sustainable.<br \/>&#13;<br \/>\n\u200e<br \/>&#13;<br \/>\n\u200e\u201cI don\u2019t think there will be a reversal. I think there is some momentum disinflation has gathered that may continue for a little while,\u201d he said.<br \/>&#13;<br \/>\n\u200e<br \/>&#13;<br \/>\n\u200eHe pointed to the expected good harvest season and the ongoing effect of the cedi\u2019s appreciation as factors that could help push inflation further down.<br \/>&#13;<br \/>\n\u200e<br \/>&#13;<br \/>\n\u200eThe Bank of Ghana\u2019s decision came after inflation dropped to 13.7% in June this year, which is the lowest since December 2021, supporting its confidence in loosening monetary policy. <br \/>&#13;<br \/>\n\u200e<br \/>&#13;<br \/>\n\u200eThe central bank says it will continue watching the economy to guide future actions.<br \/>&#13;<br \/>\n\u200e<br \/>&#13;<br \/>\n\u200eDR\/MA<\/p>\n<p>How Virtual Reality is enhancing business and customer experience<\/p><\/p>\n","protected":false},"excerpt":{"rendered":"\u200eProfessor Patrick Asuming is a lecturer at the University of Ghana Business School \u200eProfessor Patrick Asuming, a lecturer&hellip;\n","protected":false},"author":2,"featured_media":35096,"comment_status":"","ping_status":"","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[11],"tags":[64,63,99,164],"class_list":["post-35095","post","type-post","status-publish","format-standard","has-post-thumbnail","category-economy","tag-au","tag-australia","tag-business","tag-economy"],"_links":{"self":[{"href":"https:\/\/www.newsbeep.com\/au\/wp-json\/wp\/v2\/posts\/35095","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.newsbeep.com\/au\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.newsbeep.com\/au\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.newsbeep.com\/au\/wp-json\/wp\/v2\/users\/2"}],"replies":[{"embeddable":true,"href":"https:\/\/www.newsbeep.com\/au\/wp-json\/wp\/v2\/comments?post=35095"}],"version-history":[{"count":0,"href":"https:\/\/www.newsbeep.com\/au\/wp-json\/wp\/v2\/posts\/35095\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/www.newsbeep.com\/au\/wp-json\/wp\/v2\/media\/35096"}],"wp:attachment":[{"href":"https:\/\/www.newsbeep.com\/au\/wp-json\/wp\/v2\/media?parent=35095"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.newsbeep.com\/au\/wp-json\/wp\/v2\/categories?post=35095"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.newsbeep.com\/au\/wp-json\/wp\/v2\/tags?post=35095"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}