"We pumped about $2 billion over the last two years to stabilize the currency. This year we are certainly going to release about to $2 billion.
The Bank of Ghana is set to pump two billion dollars into the economy by the end of 2015. This is geared towards stabilizing the performance of the local currency the Ghana Cedi.
The bank of Ghana decided in June to increase its injection of dollars into the market from 14 million dollars to 20 million dollars a day. This saw the Ghana Cedi appreciate against the dollar from GHC4 to GHC3.3.
Addressing the media in Accra, during the announcement of the monetary policy rate for the third quarter of the year, Governor of the Bank of Ghana, Dr. Henry Wampah revealed that the bank's current efforts have yielded the marginal stability that the Cedi has recorded recently.
" We pumped about 2 billion dollars over the last two years to stabilize the currency. This year we are certainly going to release about to $2 billion. But the current marginal stability of the currency is not just down to injection, it is coupled with our policies, hence the marginal stability."
The governor also addressed public skepticisms about the central bank's ability to keep up with the dollar injections, and whether or not the bank is truly making daily injections of 20 million dollars.
" As I said, the marginal stability of the currency is not just down to the dollar injections we are making. Sometimes we make the 20 million, sometimes we make as high as 50 million, depending on the market and what is happening."
Dr. Henry Wampah further revealed that the cause of the currency's volatility cannot be put down solely on the demand for the dollar, but to panic induced by the actions of speculators.