Former Vice President Dr. Mahamudu Bawumia has dismissed claims that the recent appreciation of the Ghanaian cedi is the result of any economic policy implemented by the National Democratic Congress (NDC) government.
Speaking at the Young Executive Forum (YEF) in London, Dr. Bawumia argued that the NDC has not introduced any concrete measures that could have influenced the currency’s performance.
“If you are to ask the NDC to point out exactly what policy they have implemented that has resulted in the appreciation of the cedi, they cannot tell you one that has been implemented—not talked about, but actually implemented,” he stated.
Dr. Bawumia explained that the cedi’s recent gains are largely due to policies introduced under the previous New Patriotic Party (NPP) administration, particularly the gold purchase programme, which helped strengthen Ghana’s foreign reserves.
“For me, we had anticipated the impact of gold on this economy. I talked about it when we got into dire straits in 2022, and I said that when you look at Ghana being the largest gold producer in Africa, our reserves of gold at that time were 8.7 tons. If we had not instituted the gold purchase programme as well as the gold-for-oil programme, our economy would have collapsed,” he explained.
Dr. Bawumia further pointed to global currency trends and domestic expenditure controls as contributing factors to the cedi’s appreciation.
“The US dollar itself is on the decline globally, and that has also strengthened [the cedi]. If you go to Zambia, for example, the Kwacha has gained a lot of ground also because you have the US dollar declining in value,” he noted.
Meanwhile, Finance Minister Dr. Cassiel Ato Forson has credited the cedi’s appreciation to a deliberate and well-coordinated policy framework, rejecting claims that the improvement is coincidental.
“This rally stems from a robust policy framework, underpinned by synchronized monetary and fiscal measures, as well as a favorable global context,” Dr. Forson stated.
Baina Multimedia/Khadijahtu Kubura Kailani
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