The Monetary Policy Committee (MPC) was formed in July 2004 as the apex monetary policy decision-making body of the Bank. The maiden meeting of the Committee was held on July 26, 2004. The Committee was formerly established by the revised Central Bank of The Gambia Act (2005). The Act was revised again in 2018 and listed the following as the responsibilities of Committee:
- setting the policy interest rate to achieve the objectives of the Bank;
- deciding on the provision of credit to government, purchasing and selling Government securities (Treasury Bills) in accordance with the Act;
- delegating specific tasks under defined terms and conditions to the executive board or Central Bank staff;
- adopting its own rules of procedure; and
- receiving the statistical data and advice necessary for the formation of monetary policies.
The members of the Monetary Policy Committee are:
- the Governor;
- the First and Second Deputy Governors;
- heads of Economic Research, Banking, and Financial Supervision Departments; and
- three other persons appointed by the Minister of Finance and Economic Affairs. The Minister is obliged by the CBG Act (2018) to appoint persons with requisite knowledge and experience in the field of economics, banking, finance, or law. Such persons must be a citizen of The Gambia but not an employee, owner, or shareholder of a financial institution, a member of the National Assembly, holder of political office or an officer of a political party.
Pursuant to the Central Bank of The Gambia Act 2018, the MPC shall communicate the results of its deliberations to the public immediately after every meeting.
The MPC meets every quarter but the Chairman may convene a meeting when necessary.