BoG, EMT, Cabinet, banks, forex bureaus to hold talks over Cedi decline – Minister

Information Minister, Kojo Oppong-Nkrumah, has said the Governor of the Central Bank and Economic Management will on October 25 hold talks with forex bureaus operators over the depreciation of the cedi. The local currency has been experiencing a persistent decline in its value selling about GH¢15 to the dollar at some forex bureaus. The currency has also been classified by Bloomberg as the worst-performing in the world against the US Dollar, overtaking the Sri Lanka Rupee. According to a Citi News report, the meeting is aimed at ensuring overpricing on the forex market is halted along with concerns of supply to stability. “The Bank of Ghana will be meeting the Managing Director of some of the Banks and the heads of the forex bureau association to hold discussions aimed at ensuring that the supply of forex on the market is stabilized and the overpricing is halted so that, those who need forex for business get it without hindrances at the banking halls as against rates on the black market or some other quarters,” the Information Minister said. He added that the Cabinet along with the Economic Management Team will hold similar engagements over the persistent decline of the currency which has impacted businesses and economic activity. “We will also be looking at long-lasting measures to ensure that forex rate is stabilized in the country, even as we expect a lot more inflow of forex following the completion of the syndication of the COCOBOD transaction loan. "The Economic Management Team is also meeting to appraise itself on some of the recommendations as we get closer to the end of the year. On Thursday [October 27], Cabinet itself will be meeting to receive what has gone through the EMT and updates from the IMF negotiation so that some decisions will be made and then update the country on the next step forward,” Oppong-Nkrumah explained. Meanwhile, the International Monetary Fund has said Ghana must show proof that its debt levels are sustainable before it can approve an economic support programme for the country. According to Director of the IMF Africa Department, Abebe Aemro Selassie, Ghana needs to also present an economic reform plan before an agreement can be reached. Ghana is targeting $3 billion from the IMF once an agreement can be reached with the financial support expected to address the country’s macro-economic stability and among others. MA/FNOQ Watch the latest episode of BizTech below: