Cedi’s depreciation does not make it world’s weakest currency — Hopeson Adorye

The Director of Field Operations for the United Party, Hopeson Adorye, has rejected claims that the Ghana cedi is the world’s worst-performing currency, insisting that the local currency’s recent depreciation must be viewed within the context of Ghana’s economic realities.

Speaking on JoyNews’ AM Show on Tuesday, May 26, Mr Adorye acknowledged that the cedi had depreciated against major foreign currencies but argued that this alone does not justify describing it as the weakest-performing currency globally.

According to him, the performance of the cedi should be assessed based on Ghana’s economic structure and prevailing market conditions rather than through comparisons with currencies in more advanced economies.

Mr Adorye also defended the Bank of Ghana’s exchange rate management strategy, stating that the central bank has sought to maintain the cedi within a range of GH¢10 to GH¢12 against the US dollar.

He explained that the approach is intended to balance currency stability while protecting the interests of exporters.

According to him, an excessively strong cedi could negatively affect exporters by reducing their competitiveness and lowering earnings from international trade.

He further indicated that although the cedi could appreciate further, a significant appreciation could create challenges for export-oriented businesses and the broader economy.

Mr Adorye cited the current exchange rate of about GH¢11.6 to the dollar as evidence that the currency remains within the range targeted by the central bank.

He stressed that Ghana operates a lower-middle-income developing market economy and that the cedi’s performance should be evaluated within that economic framework rather than against the standards of highly developed economies.

المصدر: MyJoyOnline (GH)