Ghana’s import & export structure part of Cedi’s woes – Ken Kuranchie
The Managing Editor of Daily Searchlight Newspaper, Ken Kuranchie says the export and import structure of the country’s economy is the cause of fast depreciation of the cedi against major currencies.
He intimated that answers to the devaluation of the cedi is at the department of economics at the University of Ghana.
“There is a book there called Economy of Ghana 101. Every politician should read it. We should go to the people at the economic department of the University of Ghana, get the book and read it,” the managing Editor advised.
He stressed the challenges with the cedi are embedded in the book adding that the issues dealt with in the book have to do with the country’s import and export structure of the economy.
Meanwhile, he said he believes that the cedi is heading towards its natural place.
“You know every animal has a habitat and the cedi is heading towards its natural habitat. When Kwame Nkrumah gave us the cedi its value was comparable to the pound sterling. But by the time we got towards the later part of Rawlings tenure one dollar was 10,000 cedis” Mr. Kuranchie told Starr News.
According to him, the situation then informed former President Kuffuor’s decision to introduce what is called the redenomination.
Mr. Kuranchie, however, added that the redenomination about 16 years ago by former President John Agyakum Kuffuor was not helpful and “his government could not explain why cedi was equivalent to dollar after the redenomination.”
“So until we sit and answer that question and address it and begin to passionately deal with that problem. The cedi will continue to head to its natural place and we are heading to a very deep and dark place.
The Minister of Finance, Ken Ofori-Atta has said Ghanaians should not panic over the high depreciation of the Cedi.
The woes of the Ghana Cedi continue to deepen as the currency has depreciated and reaching GHC17.5 to 1$.
But, Ken Ofori Atta believes the economy will bounce back soon and the Cedi stabilized following measures being put in place by the government.
“…It is a bit perplexing but as you know, typically we go to market at the beginning of the year and get our 2 billion, this we were not able to do. We were able to get our 750 from AfroExim and in the summer – August or so things stabilized a bit. Then we moved on traditionally as we do with the ASL (Annual Syndicated Loan) of COCOBOD and that came in very strongly. So it’s a bit perplexing to see where it’s going.”
“Of course, typically in October, people are importing for Christmas, and maybe there’s a rush for that. But my expectation is that once we also conclude with the Fund that will lead to the Fund’s disbursement early next year. With the support we are getting from countries like Germany, France etcetera, we are confident that we’ll get the resources needed. So we really will want people not to panic or be rushing for that pressure on the currency. I think it is unnecessary and we are in good shape,” Mr Ofori Atta said in an interview in Washington.
Global Citizen Festival raises $2.4 Billion to end extreme poverty
Pledges totalling $2.4billion were announced as part of activities to mark the Global Citizen Festival in New York City and Accra on Saturday, September 24, 2022.
Key commitments were announced to celebrate the 10th anniversary of the festival’s impact and advocacy, through the hard work of many partner organizations.
A statement issued by Global Citizen said the 2022 Festival saw “more than US$800 million announced to end extreme poverty NOW and US$1.6 billion announced by the European Commission and Canada as part of the seventh replenishment of the Global Fund to Fight AIDS, Tuberculosis, and Malaria on Sept. 21, in addition to the announcement of five companies signing on to the UN-led Race to Zero initiative to reach net-zero emissions by 2050”.
Of this funding, more than US$440 million was earmarked exclusively to initiatives to end extreme poverty on the African continent, with the remainder intended to reach people around the world, including across Africa.
The Global Citizen Festival campaign announced commitments by world leaders and governments in support of ending poverty now, including Canada, Belgium, Denmark, the European Commission, Germany, Ghana, Lithuania, Luxembourg, Malta, the Netherlands, Norway, Slovenia, United Nations, and the United States.
From around the world, messages of support for Global Citizen’s End Extreme Poverty NOW campaign were received by President Joe Biden and First Lady Dr. Jill Biden, President of France Emmanuel Macron, Prime Minister of Spain Pedro Sánchez, COP27 Youth Envoy Dr. Omnia el Omrani, Taoiseach of Ireland Micheál Martin, Dr. Phumzile Mlambo-Ngcuka, World Health Organization Director-General Dr. Tedros, COP26 President Alok Sharma, Former Secretary-General of the United Nations Ban Ki-moon, US Rep. Jamie Raskin, US Rep. Ann Wagner, and US Rep. John Curtis.
Financial and policy announcements were also made by many corporate, philanthropic, and NGO partners including Accenture, Cisco, Citi, Delta, the Dutch Postcode Lottery, Ford Foundation, Gavi and Girl Effect, the Global Menstrual Equity Hygiene Accelerator, Lego Foundation, Procter & Gamble, Rotary International, Verizon, WWT, YouTube and Google.org.
“Amidst all the doomsday messages we hear today, hope lies in the fact that millions of citizens are rising up to take action, more than any other point in history. 10 years ago, Global Citizen was just an idea – and 10 years from now we’ll see a generation of Global Citizens running for office, starting companies, and transforming communities,” said Hugh Evans, Co-Founder and CEO, Global Citizen.
In support of the Global Citizen campaign to defend the planet and take climate action NOW, five businesses officially signed on to the Race to Zero campaign to achieve net zero carbon emissions by 2050 as a part of Global Citizen Festival, including American Eagle Outfitters, Betterfly, Harith General Partners, Juan Valdez Café, and WWT.
Global Citizens have taken more than 2 million actions with Global Citizen in 2022 to help achieve Global Citizen’s mission to End Extreme Poverty NOW, more than doubling the record previously set by the international advocacy organization.
“With 43 days to go to COP, we need countries to move from pledges to implementation — as youth we have a critical role to play in making sure our nations do not backtrack on their promises,” said Dr. Omnia el Omrani, COP27 youth envoy, in a video message to Global Citizens at Global Citizen Festival.
With stages in Accra and New York, the event captured the Global Citizen ethos, channelling an eclectic array of musical talent in support of our efforts to End Extreme Poverty NOW and build momentum ahead of the G20 summit and UN Climate Conference, COP27, both in November.
BOST profit: State-owned enterprises can deliver value with right leadership – NAPO
Minister of Energy, Dr. Matthew Opoku Prempeh, has commended the Bulk Oil Storage and Distribution Company Limited (BOST) for the turnaround in its operational and revenue fortunes.
This comes on the back of the state-owned firm, increasing its profits to GH¢161million in 2021 after it recorded a loss of GH¢291 million in 2020.
Speaking at the first Annual General Meeting of the company, Dr. Opoku Prempeh said the development demonstrates that state-owned enterprises can deliver value through the right leadership and management to boost national development.
“The transformation is indeed massive, as evidenced in improved operational efficiency. This is the path to go if we should attain the path of State-Owned Enterprises contributing to the fiscal policy of government for its national growth and development agenda. Imagine if 100 SOEs each made GH¢150million net income,” Dr. Opoku Prempeh said.
The Minister disclosed that the improvement in BOST’s revenue was due to a core business strategy and an increase in petrol and diesel sales revenue of about 83 percent.
He added that an amount of US$611 million paid from the US$624 million debt accumulated in 2017 was generated from BOST’s internally generated funds.
The sector minister also lauded the management of the state-owned firm for the effective utilisation of revenue generated from the nine pesewas BOST margin on petroleum products.
He explained that proceeds from the petroleum levy were used to undertake renovation and repair works on fuel depots, decommissioning of tanks, revamping four river barges for fuel transportation on the Volta Lake, and the upgrade of the Akosombo jetty.
“The rest are upgrade and replacement of loading arms, pumps and valves across all the depots at Buipe-Bolgatanga-Petroleum-Product-Pipeline; Tema-Akosombo-Petroleum Product-Pipeline; and Bolgatanga Petroleum Export Depot among others.”
He continued, “Comparing figures, I also saw BOST reducing its administrative expenses from as high as GH¢538 million in 2016 with a staff strength of 349 to GH¢212 million in the year 2021 with a staff strength of 487.
The energy minister also commended BOST for deploying cost-cutting measures in its operations.
“Genuine administrative costs grow upward and not downward due to factors like inflation among others but I would like to commend management for the prudence that resulted in these massive reductions in the cost of operations.
The company is spending less while achieving more for the government and people of Ghana; from the face of the record, this is an impressive performance that the company’s board and management need to be commended for,” the energy minister stated.
Dr. Opoku Prempeh in his concluding remarks reaffirmed BOST of government’s commitment to make the entity an effective and profitable one.
“I am aware of recent developments in the mass media on BOST, but I am also aware of the political economy around operations of the company. Government is also aware of the turf-war to get the company derailed, and we are not falling for those who seek to engage the reverse button,” he emphasised.
Silver Star loses benz dealership deal in Ghana
Silver Star Auto Limited, a popular automobile firm in Ghana has lost its deal as the authorized distributors of Mercedes benz in Ghana.
A Press Statement issued on Thursday, September 15, 2022 by the Company said Mercedes Benz Germany has decided to engage a new multinational dealer for the Ghanaian and West African market at large albeit leading the market share by far in Ghana for luxury vehicles.
“We have tried our level best to make a case with Mercedes-Benz in Germany without luck, all appeals failed to have produce any response from them leaving us no choice but to seek redress from the courts,” the company said in its statement.
Despite the separation, SSAL assured its customers that it will still remain an independent trusted partner for Mercedes-Benz advice, support, and aftersales service.
Below is the full statement
England defender Harry Maguire gets roasted in Ghanaian parliament (Video)
Ghana vs Switzerland (2-0) Full Highlights Goals, Pre-Qatar 2022 FIFA World Cup Friendly Match (Video)
StorONE is transforming software-defined storage
ICANN Boost Africa Internet Access with New Root Server
Parliament to begin implementing no scanning, no entry directive today
PIAC, GNPC expected at Ofori-Atta censure hearing today
Public university workers remain on strike after continued stalemate
- England defender Harry Maguire gets roasted in Ghanaian parliament (Video) December 4, 2022
- Ghana vs Switzerland (2-0) Full Highlights Goals, Pre-Qatar 2022 FIFA World Cup Friendly Match (Video) November 18, 2022
- StorONE is transforming software-defined storage November 17, 2022
- ICANN Boost Africa Internet Access with New Root Server November 17, 2022
- Parliament to begin implementing no scanning, no entry directive today November 17, 2022
- PIAC, GNPC expected at Ofori-Atta censure hearing today November 17, 2022
- Public university workers remain on strike after continued stalemate November 17, 2022
Elections2 years ago
Ghana EC Boss To Announce 2020 Ghana Presidential Election Results [Video]
Entertainment3 years ago
After Esther Smith & Dr Mary Ghansah’s endorsement, QueenLet dropped another song titled “Anwanwadwuma” – Marvelous Work [5K Ultra HD Lyrics Video]
Entertainment2 years ago
Alleged conversation between Tracey Boakye and MzBel about Former President Mahama leaks [Video]
Featured3 years ago
Ex-president Jerry John Rawlings of Ghana died at aged 73
News3 years ago
Profile Of Ex-president Jerry John Rawlings – Age, Family, Education, Career, Life & Death
Religion3 years ago
A good wife will never divorce an impotent husband – Counselor Charlotte [Video]
Featured2 years ago
President Akufo-Addo’s ‘bribe’ video: Laptop of originator seized – Paul Adom-Otchere [Video]
Elections3 years ago
2020 USA Election Victory: Joe Biden pushes forward with plans for office, Trump yet to concede [Video]