The Trades Advocacy Group Ghana (TAGG) has expressed serious concerns over the rapid depreciation of the Ghanaian cedi against the US dollar, warning that consumers could face sharp price increases.
The cedi, which has dropped from GH₵14 to GH₵16 per dollar in recent weeks, is projected to fall further, possibly reaching GH₵20 by December 2024.
The weakening currency has significantly impacted traders, pushing up the cost of imported goods and fueling inflation.
“Ghanaian traders and businesses are sounding the alarm over the continued depreciation of the Ghanaian cedi against the US dollar and other currencies. This downward trend has significant implications for the country’s economy, particularly as it impacts import costs, inflation, and overall business confidence.
“The weakening cedi has directly impacted Ghanaian traders, who are facing higher costs for imported goods. This, in turn, has forced them to increase prices for their products, contributing to inflationary pressures in the domestic market. The rising cost of living has placed a strain on consumers’ purchasing power, leading to reduced demand for goods and services.
“Traders are sounding the alarm about a looming crisis that could lead to significant price increases for consumers, due to continued depreciation of the Ghanaian cedi against the US dollar and other currencies. Businesses are facing unprecedented financial pressures. If these conditions persist, traders will be forced to pass on these Increased costs to consumers, resulting in higher prices for essential goods and services,” TAGG said in a statement.
TAGG is therefore calling on the government and the Bank of Ghana to take urgent measures to stabilize the cedi and prevent further economic strain.
Read the statement below:
Source: Adomonline
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