The Bank of Ghana (BoG) has taken steps to give the public greater insight into how decisions on interest rates, inflation and the exchange rate are made through a new programme that allows university students to observe aspects of Monetary Policy Committee (MPC) proceedings.
The initiative, known as the MPC Educational Observership Programme (MPC EOP), was launched with a first cohort of students from the University of Ghana.
The programme is expected to be extended to other tertiary institutions during future MPC meetings as the central bank seeks to strengthen public understanding of monetary policy and deepen cooperation between academia and policymakers.
Governor of the Bank of Ghana, Dr Johnson Asiama, announced the initiative at the opening of the 131st MPC meeting on Monday.
He said the programme would provide students of economics and related disciplines with direct exposure to the processes underpinning monetary policy decisions.
According to the Governor, the initiative would allow students to understand not only the decisions taken by the MPC but also the analysis and considerations that inform those decisions.
“Monetary policy is most effective when it is understood, when it is translated and when it is supported by the public,” Dr Asiama said.
He said the initiative was designed to demystify the monetary policy process and help develop a new generation of economists and policymakers with a deeper understanding of central banking.
Traditionally, the Bank of Ghana has relied largely on policy communiqués and media engagements to explain MPC decisions to the public.
The new programme introduces a more direct and experiential approach to public education and policy communication.
Dr Asiama said improving public understanding of monetary policy was particularly important as Ghana navigated domestic and international economic pressures, including inflationary trends and volatility in global oil markets.
The current MPC meeting is assessing four key issues: the inflation outlook, the effectiveness of recent cash reserve reforms, changes in domestic liquidity following the end of Ghana Gold Board financing and external risks to the economy.
The Governor acknowledged that although Ghana had continued to show signs of macroeconomic resilience, developments in domestic liquidity, recent increases in inflation and external pressures remained areas of concern.
“Our task this week is not simply to assess the latest data. It is to determine whether the framework we strengthened in May remains fit for the conditions now before us, and whether the choices we made then continue to serve the medium-term objectives on which our credibility depends,” he said.
The Bank of Ghana expects the observership programme to strengthen the link between universities and policy institutions while improving public confidence in the monetary policy process.
