Ghana moves to limit offshore investments to shield the cedi - Report

This article is closed for comments.

Read Comments Comments (4)

Mike 8 hours ago

This is practical...not theory

This is practical...not theory
Earl 3 hours ago

In order to buy foreign securities, you need foreign currency, usually US dollars. To obtain them, you sell cedis, depressing the value of the latter. If the official value of the cedi had been near the real value, this would ...
read full comment

In order to buy foreign securities, you need foreign currency, usually US dollars. To obtain them, you sell cedis, depressing the value of the latter. If the official value of the cedi had been near the real value, this would have been no problem, the new regulations would not have been necessary. But for some reason, the Bank of Ghana thinks it is posh to have an overvalued currency, which depresses Ghanean export and import substituting businesses. It also creates queues for dollars, opening the possibility of bribes and black market transactions.
Kwajo 3 hours ago

Good job!

Good job!
DONT WASTE MONEY SHORING UP THE CEDI 1 hour ago

The cedi will weaken eventually. It's a waste of money to shore it up.

The cedi will weaken eventually. It's a waste of money to shore it up.