[01] Francis Kofi Sobre Frimpong, Department of Accounting and Finance, Accra Institute of Technology, Accra, Ghana. [02] Eleazer Fianko Ofei, Department of Accounting and Finance, Accra Institute of Technology, Accra, Ghana. [03] Leviticus Mensah, Institute of Graduate Studies and Research, Cyprus International University, Nicosia, Cyprus. [04] Eric Hope, Department of Accounting, Kaaf University College, Accra, Ghana.

The purpose of the study was to assess the effectiveness of the monetary Policy regime adopted by Bank of Ghana in controlling inflation in the economy. This study specifically examined the relationship of interest rate, monetary policy rate, T-bill rate and Money supply on inflation in the Ghanaian context. The study was based on the Ex-post Facto research design method and the use of quantitative research approach. Secondary information was used from the bank of Ghana and Ghana statistical service. Data analysis was based on six variables used for a 11-year period (2006-2016). A time-series data estimation and correlation analysis were used to evaluate the effects and relationship of the exogenous variables on the endogenous variable respectively. The study found monetary policy rate, t- bill rate, and money supply to be statistically significant relationship with inflation except interest rate, which was statistically insignificant. In respect to the effect of these independent variables on inflation, the study reveals that all the independent variable have a statistically significant effect on Inflation at 1% significant level. The paper concluded that the R-square value is not more than 80%. It further concluded that price control, rationing and credit control can be used in controlling inflation in Ghana in addition to monetary policy rate.

T-bill Rate, Monetary Policy Rate, Money Supply, Inflation, Interest Rate, Price Control, Rationing, Credit Control

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