The victory of Donald Trump in the US presidential election will not have any impact on the cedi against the dollar in the short to medium term, economist Daniel Amartey Anim has suggested.
Asian shares rebounded on Thursday, November 10, and the dollar firmed after global markets made a remarkable comeback from the shock of Republican Trump’s presidential victory, dumping safe-havens for the tempting returns of risk assets.
The dollar index, which measures the greenback against a basket of major currencies, was steady at 98.499.
Several analysts have raised fears following the development that the Ghana cedi could be negatively affected, but Mr Anim believes the “only thing that will put the pressure on the cedi is the general election that we are approaching and that of the festive season”.
Ghana is heading for the polls on December 7 for the election of a president and parliamentarians after the expiry of the current four-year term.
The local currency on the average has been hovering around 3 cedis 95 pesewas per dollar for months.
With the elections and the forecast increase in business activities during the Christmas and New Year period, the economist has, therefore, advised the central bank to take precautionary measures to keep the cedi stable.
“There’s the need for the Bank of Ghana to strategise in order to have many reserves within the economy,” he admonished in an interview with Citi FM on Thursday, November 10.
Source: ClassFMonline
