Steps are being taken to deal with unacceptable depreciation of Cedi – Akufo-Addo

He said the government is upbeat about bringing some level of respite to the Ghanaian citizens who are reeling under the economic pressures.

Addressing congregants at the 22nd General Assembly of the Methodist Church of Ghana at Abetifi on August 12, the President intimated that the adverse effect of the Covid-19 pandemic as well as the ongoing Russia-Ukraine war ought to be blamed for the current predicament of Ghanaians.

He added that the government's contact with the International Monetary Fund is a major step towards restoring the economy back on track.

On the increased cost of food, Akufo-Addo said arrangements are being made to transport goods from rural areas to urban centers.

“The Akufo-Addo government has not thrown up its hands in despair. We are determined to bring relief to the Ghanaian people and return the economy back to the high rate of growth that characterized our development in the 3 years preceding the Covid-19 outbreak which made our economy one of the fastest growing in the world at the time.

“The approach to the IMF is a major step in the short run towards that goal. Other steps will be taken in particular to deal with the unacceptable depreciation of the currency, the Cedi. Reining in inflation by bringing down food prices is a major preoccupation of the government and hopefully this seasons emerging successful harvest will assist us in this regard. Arrangements are being made with market women, the market queens to provide truck to evacuate foodstuffs from rural markets to urban centers to help reduce food prices in the cities,” he said.

The economy has in recent times been experiencing a downturn with citizens lamenting the increased cost of living.

Ghana’s inflation rate for the month of July was 31.7% per data from the Ghana Statistical Service.

The recent developments prompted the government to initiate contacts with the International Monetary Fund for a programme.

Amid the downturn, international rating agencies such as Fitch and Standards and Poor have downgraded Ghana's economy.

For instance, Fitch in its latest report noted that the downgrade reflects the deterioration of Ghana's public finances which has contributed to a prolonged lack of access to Eurobond markets.

The Cedi has also in recent times been on a free fall with exchange rate nearing GH₵11 to a US dollar at some forex bureaus.

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DS/SARA