The falling value of the cedi and its impact on businesses have alarmed the Ghana Union of Traders Association (GUTA).
GUTA mentioned in a statement that; “the depreciation of the cedi against other major trading currencies is getting out of hand, and the increase in the monetary policy rate is also leading to high lending rate in the country.”
Businesses have reportedly reached a point where their survival is significantly threatened as a result of the depreciation, according to GUTA, and if no prompt action is made by the government to find a solution.
“It could be recalled that since December 2021 when the dollar was 6.4 cedis, our working capitals have been depleted by 40%. Now that, the dollar has reached about 9.00 cedis, our worst fear is that we are now going to make Christmas orders from our suppliers, which may aggravate the situation.”
The statement added that “Allowing foreigners into the retail trade and wholesale sectors of the economy will not help this country, but rather defeat the action plan set for the implementation of 1D 1F, AfCFTA and the general industrialization in Ghana.”
“We also want to remind the Government that the big-time institutional importers, especially, those who serve as conduits for dumping goods mainly from China are the culprits,” GUTA noted.
Read the full statement