The Ghana Reference Rate (GRR) has edged up to 17.93 per cent for November 2025, a slight increase from October's 17.86 per cent, according to data from the Ghana Association of Banks.
The increase is attributed to rises in key indicators, including Treasury Bill rates, which increased from 10.50 per cent to 10.67 per cent, and interbank rates, which edged up from 20.93 per cent to 21 per cent.
This development follows a decline in the GRR in October, when it dropped to 17.86 per cent from 19.86 per cent in September.
The September decline marked a continuation of the downward trend observed since the beginning of the year. In January 2025, the GRR stood at 29.72 per cent, rising slightly to 29.96 per cent in February before gradually easing to 19.67 per cent by August 2025.
The GRR serves as a key benchmark for determining lending rates by commercial banks in Ghana. As such, changes in the rate can have significant implications for borrowing costs and the overall economy.
The recent marginal increase may lead to slightly higher lending rates, potentially affecting borrowers' costs. However, the rate remains significantly lower than the levels recorded at the beginning of the year.
Impact
The slight uptick in the GRR may translate into a marginal increase in lending rates for November, as commercial banks typically use the rate as a reference point in pricing loans.
While borrowers with fixed-rate facilities will remain unaffected, those with variable-rate loans could experience a modest rise in their monthly interest obligations.
The adjustment comes amid ongoing liquidity constraints in the banking sector — a consequence of the central bank’s monetary tightening measures aimed at stabilising the cedi and curbing inflationary pressures.
According to the Bank of Ghana’s latest Monetary Policy Report, average lending rates have declined from 26.6 per cent to 24.2 per cent, reflecting an overall easing in credit conditions. Similarly, yields on money market instruments have fallen, with the 91-day Treasury bill rate dropping from 13.4 per cent in July to 10.3 per cent in August 2025.
Introduced in 2017 by the Bank of Ghana in collaboration with the Ghana Association of Banks, the Ghana Reference Rate was designed to enhance transparency and consistency in the pricing of loans. The maiden rate, set in April 2017, was 16.82 per cent.
The GRR remains a critical tool for ensuring fairness in lending and continues to serve as a benchmark for interest rate determination across Ghana’s financial system.