Ghanaians can't seem to catch a brake. Prices of goods are services keep skyrocketing. This has mostly been due to the cedi-dollar exchange rate. Barely a few days ago the dollar to cedi exchange rate was around 1 dollar to GHC11.50 to GHC11.70.
Fast-forward to today Friday 14th October 2022, the dollar is now selling for a whooping GHC12.10 for 1 dollar across most forex bureaus. Thus the Cid has lost about 6% of its value within a week. As of 13 January 2022, the exchange rate was 1 dollar to 6.2 Ghana cedis. Meaning, the cedi has depreciated almost 50% in value since January 2022.
The cedi is also rapidly losing value against other major trading currencies. The Euro is now selling at around GHC 11.10 while the British Pounds sells at a magnanimous GHC12.70.
From projections, if the cedi continues to fall in value at the current rate, the dollar will be sold for not less than GHC15.30 by the end of December 2022.
The current situation has led to renewed calls by some Ghanaians for the Finance Minister to be dismissed or at least reshuffled.
Sadly, managers of the economy, Honorable Ken Ofori-Atta the Finance Minister, and His Excellency Dr. Bawumia the Vice President, and their entire economic management team seem not to have a clue as to how to stop the free fall of the cedi. So far all they have done is squarely blame all our economic woes on the Russia-Ukraine war as well as Covid-19.
Yes, those may have some impact on our economy but the rate of deterioration of Ghana's economy must mean there is something fundamentally wrong within the management process of the economy aside from the external shocks.
Does the current deplorable state of the cedi indicate that the fundamentals are weaker now and as such the exchange rate is exposing us?
Content created and supplied by: TC.Oceans (via Opera News )
Opera News is a free to use platform and the views and opinions expressed herein are solely those of the author and do not represent, reflect or express the views of Opera News. Any/all written content and images displayed are provided by the blogger/author, appear herein as submitted by the blogger/author and are unedited by Opera News. Opera News does not consent to nor does it condone the posting of any content that violates the rights (including the copyrights) of any third party, nor content that may malign, inter alia, any religion, ethnic group, organization, gender, company, or individual. Opera News furthermore does not condone the use of our platform for the purposes encouraging/endorsing hate speech, violation of human rights and/or utterances of a defamatory nature. If the content contained herein violates any of your rights, including those of copyright, and/or violates any the above mentioned factors, you are requested to immediately notify us using via the following email address operanews-external(at)opera.com and/or report the article using the available reporting functionality built into our Platform See More