Vice President Dr. Mahamudu Bawumia has assured Ghanaians that the government and the Bank of Ghana are working together to stabilize the cedi and control inflation.
The Vice President announced that the Central Bank has begun to implement a number of policies to combat inflation, which is currently at 33.9 percent.
“In Ghana, we are dealing with the issues in the context of a very squeezed or tight budget. On the Monetary Policy side, the Central Bank is trying to control inflation. There have been a number of interest rate increases to deal with the situation.”
The Vice President was speaking to a Kenyan television station.
Despite a historic rate increase by the central bank, Ghana’s consumer inflation reached nearly 34% in August, the highest level since 2001.
Consumer inflation rose to 33.9% year on year in August, up from 31.7% in July, according to new statistics released Wednesday.
Addressing the media in Accra Wednesday, the head of the Ghana Statistical Service, Samuel Kobina Annim, said the inflation rate was mainly driven by high fuel prices that are affecting transport fares and utility costs.
He also asserted that “We need to be careful when we are only looking at just the negative side of what potentially might happen to our economy going forward with all the increases and the global economy. Inasmuch as all those challenges are confronting us, we should also look at some positives that are happening in terms of government interventions.”