Dr. Adu Owusu Sarkodie, an economist, has encouraged government to move quickly to buy oil from alternative sources at a significantly lower price.
On November 1, consumers of petroleum products started to notice a noticeable increase in pricing at various pumps, with gasoline and diesel selling for about GH17.99 and GH23.49, respectively.
In response to the news, Dr. Sarkodie thinks the government’s choice could assist regulate fuel costs and curb the nation’s mounting inflationary pressures.
However, he emphasized the importance of moving quickly toward buying less expensive oil products from other nations and sources.
“The President [Akufo-Addo] touched on so many things. Key among them is the high cost of living, high food and energy prices and the fact that he’s doing something about it. For example, he has started negotiations with other sources of oil; other countries or companies that produce oil at a lower price and also to keep the exchange rate stable,” he is quoted by Joy Business.
“I think that will also help check the price of the fuel because we know the high cost of fuel price is driving the high cost of prices of items through high transport costs in the country”, the economist explained.
Dr Sarkodie further pointed out that should government be able to stabilise fuel prices across the country, it would result in a reduction of food prices and other goods on the market which has contributed to rising inflation.
“So, if we are able to control fuel prices, we would be able to control prices of so many items within the economy,” he added.