Ace Broadcast Journalist Israel Laryea has suggested another possible reason as to why the Ghanaian Cedi keeps depreciating against the major foreign trade currencies.
According to Mr Laryea one of the factors affecting the strength of Ghana’s currency is the penchant for people in high places to convert their ill-gotten money into forex and hoard the same from the system.
“In discussing the Ghana Cedi’s woes, we should also talk about people in high places who convert their loot of the public purse into forex and stash it in their homes and out of circulation. May those monies be “relooted” and returned into circulation”, he said in a tweet.
Currently the Ghana Cedi is trading at around GH₵10 to the United State Dollar and the Euro, respectively, and GH₵11 against the British Pounds.
The Cedi has been classified by Bloomberg as the worst performing currency in the world at the moment.
Bloomberg tracked the performance of 150 currencies in the world, placing the Cedi last in terms of performance since the beginning of the year.
To arrest the situation, the Government has disclosed that it will be injecting some $2 Billion Dollars into the economy to shore up the rapid depreciation of the country’s currency.
Speaking to Accra based Citi FM, the Information Minister, Kojo Oppong Nkrumah says some 750 million dollars expected from the Afremix Bank will hit the accounts of the Bank of Ghana this week, whilst the cocoa syndicated loan will add $1.3 billion.
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