Business General

Cedi slump: Bawumia leading an Economic ‘Mismanagement’ Team

A deputy minister under the erstwhile John Dramani Mahama government has called for prayers for the Ghana cedi.

James Agyenim Boateng is also of the view that contrary to law, where the economy should be headed by an Economic Management Team, EMT, Ghana’s economy is being mismanaged.

“Say a prayer for the Cedi and the government’s Economic Mismanagement Team led by Dr Bawumia,” Agyenim Boateng said in a tweet dated August 17, 2022.

His post was accompanied by a photo of an international news report on the continued slump of the Ghana cedi.

The Bloomberg News screenshot was reporting an emergency meeting by the Bank of Ghana, BoG, following a ‘currency slump.’

The report stated: “The cedi slumped 2.7% on Monday – the biggest decline in more than three years – to a record low, extending this year’s slump to 34% and making it the world’s worst performer after bankrupt Sri Lanka’s rupee among 150 currencies tracked by Bloomberg.”

What the Bloomberg report said about the cedi

The Ghana cedi ranked last but one, only behind Sri Lanka’s Rupee, according to a currency performance ranking by Bloomberg taking into consideration 150 currencies in the world in terms of performance since the start of 2022.

Bloomberg said the results came after it tracked the performance of 150 currencies in the world.

Since the start of this year, the Ghana cedi has suffered persistent depreciation against major trading currencies, especially the US dollar.

The fall in the currency is due to demand for forex as it overtook supplies during a period when high debts and low investor confidence have made it impossible for Ghana to access the international capital market for borrowing.

As of July, this year, the cedi lost its value by more than 20 percent. The local currency is now trading above GH¢10.00 to one US dollar on the exchange rate market.

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