The President of the Forex Bureau Association of Ghana, K. T. Dadzie, has disclosed that the exchange rates have reacted positively, with an appreciation of the cedi, following ongoing engagements between government and key stakeholders.

He admitted that it has not been easy for Forex Operators, their customers and the nation, during these past three months of forex turbulence. However, he indicated that the cedi, since government’s direct interventions, has appreciated significantly against the dollar.

Mr Dadzie revealed that tthe situation with the rates spiralling out of control is not in any way a natural course of action, but the deliberate efforts of “people speculating and trying to make rainfall out of the situation that we are in”.

Mr Dadzie made this revelation when the leadership and members of the Association met President Akufo-Addo, in an extended version of continuing engagements between the Association and the Bank of Ghana, to discuss the concerning behaviour and turbulence of the foreign exchange market.

According to President Akufo-Addo, at whose behest the meeting was occasioned, “the state of our currency and the turbulence in our foreign exchange market is a matter of notoriety now in Ghana and it’s a matter of very grave concern”.

The President stated that the initial import for the creation of Forex Bureaus was at the time when the economy was opening up and liberalizing.

“So, we had these Forex Bureaus, regulated by the Bank of Ghana; but which will make access to foreign exchange in a regulated and controlled manner easier. This was necessary to curb and trying to find a mechanism for putting an end to Black-Market operations in our currency.”
President Akufo-Addo

Black market operators in the country

Unfortunately, President Akufo-Addo noted that the “initial motivations” intended for the Forex Bureau have still not materialized.

“The Black-Market; you will hear public commentators, and the Bank of Ghana itself, that it is still driving both the supply as well as the rate of our foreign exchange transactions.”
President Akufo-Addo

The Forex Bureau Association on the other hand, pledged its commitment to support government towards stabilizing the rates and reduce drastically the influence of Black-Market activities within that space.

Prior to this, President Akufo-Addo met with members of the Council of State, the Association of Ghana Industries and the Association of Bankers to discuss ways to resuscitate the distressed economy and cedi depreciation.

The meeting afforded the President the platform to disclose the outcome of the international monetary fund negotiations with the government for a possible bailout and the expected impact on the economy.

Opening the session, the President revealed that government wants all hands on deck to be able to turn the economy around.

“Basically, what I want you to do and that is the reason why also the Finance Minister, BoG Governor and officials of the government are here, is to indicate to you where we have gotten to in the negotiations we are having with the Fund…and then also to hear from you what you think would be significant.”
President Akufo-Addo