Former Deputy Finance Minister under the late President John Evans Atta Mills and Member of Parliament (MP) for Ketu South Constituency, has rejected criticisms that the economic fundamentals are weak which resulted in a marginal depreciation of the cedi against the dollar.
Contributing at a Cedi forum organized by Accra based Joy Fm at the University of Ghana, Hon. Fiifi Kwetey argued that “the economic fundamentals are strong today even though the cedi is facing some pressures”. The outspoken MP stated that similar fundamentals existed under the Government of the late President Mills and that the cedi suffered heavy depreciation in 2013 and 2014.
The former Minister’s comments are in sharp contrast to criticisms which suggest that the cedi’s depreciation is blamable on weak economic fundamentals.
He argued that it is possible to have strong economic fundamentals while a currency is still depreciating. His comments shocked many of the audience who were expecting fierce criticisms of the NPP’s economic management.
Dr. Eric Osei Assibey, a lecturer at the Economics department of the University of Ghana, on his part argued that “depreciation of a currency is not a problem. It is the rate of depreciation which has to be looked at”. The economics lecturer submitted the cedi is doing relatively well. This view was endorsed by Dr. Priscilla Twumasi Baffour, a macro-economic lecturer at the University of Ghana.