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  1. Ghana's ailing economy faces lending rate hike

    Thomas Naadi

    BBC News, Accra

    Market in Accra
    Image caption: Ghana has been struggling to deal with rising inflation

    The Central Bank of Ghana has raised its base interest rate to 17%, the highest since President Nana Akufo-Addo came to power in 2017.

    This means commercial banks, which borrow from the central bank, are likely to increase their lending or interest rates too.

    According to the central bank, the hike is part of measures to stabilise Ghana’s ailing economy.

    The West African country has been struggling to deal with rising inflation, increases in the prices of goods and services and a depreciation of the local currency.

    Transport fares also went up by 15% in February, with further increases likely.

    Ernest Addison, governor of the central bank, has already warned that the ongoing conflict in Ukraine may further affect Ghana’s economy.

    The country imports about 60% of it iron ore from Ukraine and a quarter of its wheat from Russia.