Economy of Ghana Cedi will be stable in 2nd quarter - Economist

An Economist Prof Godfred Bokpin explained that the various strategies implemented by the government will result in a more stable currency in the second quarter.

  • Published:
24/7 Live - Subscribe to the Pulse Newsletter!

An Economist Prof Godfred Bokpin has predicted that the cedi will further stabilise in the second quarter of 2017.

He explained to Accra-based Citi FM that the various strategies implemented by the government will result in a more stable currency.

He said the renegotiation of the IMF deal and the rising investor confidence play key roles in the stability of the cedi.

READ ALSO: Ghana Water begins billing customers via e-platforms

“The next IMF review is likely to be positive, that will also inject some good news into the economy and help generate market confidence and unlock donor inflows into the economy. With a change in government and the  goodwill that comes with Akufo-Addo’s government, we  expect that donor partners will respond with the appropriate measure, with some level of inflows into the economy, the next tranche of the IMF money should also help.”

“I expect the stability to continue. I think that a significant stability of the cedi is sustainable. In fact beyond that, it is not even sustainable for our economy itself in terms of the competitiveness of our economy,” he added.

The cedi saw some depreciation during the first quarter of this year.

READ ALSO: Here is why the new Director of Ghana Standards Authority resigned

Latest figures by the Bank of Ghana also showed that the cedi’s depreciation against the dollar for March 2017, was five times more than the rate of depreciation recorded in the same period in 2016 thus from  0.9 to 5 percent.

In March 2017, the local currency depreciated by 7.5 and 8 percent to the British Pound and the Euro respectively.

READ ALSO: Nana Akufo-Addo inaugurates GIIF Board

However, Prof Bokpin said the cocoa syndicated loan that may be raised soon, will guarantee further inflow of cash to help stabilise the cedi.

“Beyond that government will soon begin negotiating in terms of the net syndicated cocoa loan and others so probably, speculators will have to take a slip in a bit and then wait and see what happens. But at least some level of stability should be anticipated,” he concluded.

Do you ever witness news or have a story that should be featured on Pulse Ghana?
Submit your stories, pictures and videos to us now via WhatsApp: +233507713497, Social Media @pulseghana: #PulseEyewitness & DM or Email:

Recommended Articles

Recommended Videos

Top Articles

1 Software Scandal EOCO indicts SSNIT managers over $72m software scandalbullet
2 Salaries In 2018 Here are the dates public workers will be paid in 2018bullet
3 David Ampofo Writes Is Ghana's cashew another cocoa?bullet
4 In Accra Susu collectors give gov’t 1 week ultimatum to stop NPP...bullet
5 Collapsed Banks Assets of UT Bank and Capital Bank for salebullet
6 Excise Tax Stamp Act Gov’t threatens to sanction businesses...bullet
7 NPP Government Nana Addo nominates Dr Agnes Adu as MD of GTFCbullet
8 Taxes In Ghana 3% VAT flat rate takes off in July 1bullet
9 In Singapore Government to pay bonus to all citizens...bullet
10 Retirement How to calculate your SSNIT pensionbullet

Top Videos

1 New Discovery Ghana discovers new mineral, lithium in commercial quantitiesbullet
2 Money Alert Meet Africa's richest womanbullet
3 Forbes 2018 Africa's billionaires rich listbullet
4 Support Finance minister buys Kantanka carbullet
5 Plane Crash Starbow suspends operations following plane crashbullet
6 Dr Joseph Siaw Agyepong Nobody can collapse my company – JOSPONGbullet
7 Bozoma Saint John 10 quotes from Uber top official, Bozoma,...bullet
8 Vodafone adbullet
9 Entrepreneurship How to be resourceful as an entrepreneurbullet