An economist at the University of Ghana, Prof. Godfred Alufar, has reiterated Vice President Dr. Mahamudu Bawumia‘s stance on the weak state of Ghana’s exchange rate.
According to him, the depreciation of the local currency is due to fundamental factors that must be tackled.
The Ghana cedi has come under intense pressure in recent times as it fell by more than 50% to the US dollar to sell at an all-time high of GH¢16.
In this week’s edition of BizTech, Prof. Bokpin highlighted the importance for the government to act swiftly to arrest the cedi.
He also explained that Ghana’s economic crisis cannot be solved by ‘magic’, therefore pragmatic steps must be taken to ensure that the crisis comes to an end.
On calls for the resignation of the Finance Minister, Prof Bokpin said, “that is not the only change we want. Beyond that, it will not amount to so much just changing the finance minister. We must go a step further and reduce the number of ministers and the government size overall, including the staff at the presidency.”
He also stated that the government must fast-track its negotiations with the International Monetary Fund in order to secure the expected financial support as soon as possible.