But For 2007 Redenomination, US$1 Will Be 100,000 Cedis – Togbe Afede Laments

Togbe Afede XIV

Togbe Afede XVI, the Agbogbomefia of the Asogli Traditional Area, has lamented rising cost of living pointing especially to the galloping inflation and depreciating cedi.

Speaking at the inaugural anti-corruption summit of the Asogli State on Saturday, August 20, he said it was sad that with all the resources God had given Ghana, people were suffering economically.

“Some people are suffering, very low standard of living that they don’t have to, God has given us so much. We see where inflation is now, galloping.”

On the subject of the cedi, he submitted; “…we see what has happened to the cedi, if we hadn’t done the cedi renomination of 2007, we would have been exchanging 100,000 cedis now for the US dollar.

“That is how far our currency now has lost value, which means that we have not be very good with managing our own affairs, we have met the expectations of our founding fathers,” he added.

The 2007 cedi redenomination kick started on July 1, 2007 by the Bank of Ghana with the Cedi (¢), redenominated to the Ghana Cedi (GH¢), such that ten thousand Cedis will be equivalent to one Ghana Cedi.

“Two of the reasons given by the Central Bank for the re-denomination are the increasing difficulty in maintaining accounting and statistical records; and problems with accounting and data processing software,” a PwC report noted.

Galloping inflation, last pegged at over 31%, and a depreciating cedi have become two main pointers of the economic crisis that has triggered general rise in cost of living.

Government has since turned to the International Monetary Fund, IMF, for an economic recovery programme to support the economy.

SARA

•ghanaweb.com