Bank of Ghana to avert depreciation of cedi as single spine salary begins
The Bank of Ghana has assured Ghanaians that it is adequately prepared to avert the depreciation of the national currency, the cedi as the Single Spine Salary Structure (SSSS) begins.
The governor of the central bank, Kwesi Amissah-Arthur told the Daily Graphic in an interview that the bank will avert the depreciation which is likely to arise from the implementation of the SSSS and the sale of the country’s crude oil.
Amissah-Arthur said there is the likelihood that the SSSS and the sale of the country’s crude oil will cause more money to be put into circulation, and this he told the newspaper will threaten the stability of the cedi and the current single-digit inflationary rate.
He said in preparation for the expected increase in the circulation of money, the Bank of Ghana has budgeted adequate resources to mop up the excess liquidity in the economy that might come about as a result of the SSS, and oil and cocoa purchases in the country.
He also said the central bank would continue to employ certain fiscal tools such as the open market operations, the issuance, buying and selling of bonds and bills to avoid the free fall of the cedi and the runaway inflation resulting from the upsurge in money supply.
By Emmanuel K. Dogbevi
The Bank of Ghana has assured Ghanaians that it is adequately prepared to avert the depreciation of the national currency, the cedi as the Single Spine Salary Structure (SSSS) begins.
The governor of the central bank, Kwesi Amissah-Arthur told the Daily Graphic in an interview that the bank will avert the depreciation which is likely to arise from the implementation of the SSSS and the sale of the country’s crude oil.
Amissah-Arthur said there is the likelihood that the SSSS and the sale of the country’s crude oil will cause more money to be put into circulation, and this he told the newspaper will threaten the stability of the cedi and the current single-digit inflationary rate.
He said in preparation for the expected increase in the circulation of money, the Bank of Ghana has budgeted adequate resources to mop up the excess liquidity in the economy that might come about as a result of the SSS, and oil and cocoa purchases in the country.
He also said the central bank would continue to employ certain fiscal tools such as the open market operations, the issuance, buying and selling of bonds and bills to avoid the free fall of the cedi and the runaway inflation resulting from the upsurge in money supply.
By Emmanuel K. Dogbevi