• Login
NORVANREPORTS.COM |  Business News, Insurance, Taxation, Oil & Gas, Maritime News, Ghana, Africa, World
  • Home
  • News
    • General
    • Political
  • Economy
  • Business
    • Agribusiness
    • Aviation
    • Banking & Finance
    • Energy
    • Insurance
    • Manufacturing
    • Markets
    • Maritime
    • Real Estate
    • Tourism
    • Transport
  • Technology
    • Telecom
    • Cyber-security
    • Cryptocurrency
    • Tech-guide
    • Social Media
  • Features
    • Interviews
    • Opinions
  • Reports
    • Banking/Finance
    • Insurance
    • Budgets
    • GDP
    • Inflation
    • Central Bank
    • Sec/Gse
  • Lifestyle
    • Sports
    • Entertainment
    • Travel
    • Environment
    • Weather
  • NRTV
    • Audio
    • Video
No Result
View All Result
No Result
View All Result
NORVANREPORTS.COM |  Business News, Insurance, Taxation, Oil & Gas, Maritime News, Ghana, Africa, World
No Result
View All Result
Home Business

Exchange Rate Volatility Threatens Ghana’s Inflation Target, Warns Economist

1 year ago
in Business, Economy, Features, highlights, Home, home-news, latest News
1 min read
0 0
0
44
VIEWS
Share on FacebookShare on TwitterShare on Linkedin

Exchange Rate Volatility Threatens Ghana’s Inflation Target, Warns Economist

Economist Dr. Theo Acheampong has raised concerns that exchange rate fluctuations could cause the Ghanaian government to miss its end-of-year inflation target of 15%.

Analyzing the revised macro-targets in the Mid-Year Budget Review, Dr. Acheampong expressed optimism about achieving the revised Overall Real GDP Growth rate of 3.1%, up from 2.8%, but cautioned that inflation control could be compromised.

Impact of Exchange Rate on Inflation

Dr. Acheampong highlighted that duties and taxes on imported goods, typically indexed in dollars, are driving up prices.

“Most of the charges on the ICUMS platform are charged in dollars. This means that when the cedi depreciates, importers will pay more at the ports,” he explained. He argued that these costs are passed on to consumers, thereby increasing inflation.

“The importers will not bear that cost and will pass on the extra cost at the ports to consumers. This means consumers will pay more,” Dr. Acheampong noted, adding that such dynamics could undermine efforts to reduce inflation.

RelatedPosts

IMF Managing Director Appoints Christian Mumssen as Director of the Strategy, Policy, and Review Department

Ethiopia’s Gold Rally Fuels Confidence in Stronger Currency

Senegal’s 2026 Debt Bill Jumps 11% After Hidden Loans Scandal

Revised Macroeconomic Targets

The government has announced key revisions to its macroeconomic fiscal targets for 2024. During the Mid-Year Budget presentation in parliament on July 23, 2024, Finance Minister Mohamed Amin Adam revised the Overall Real GDP Growth rate upwards to 3.1% from 2.8%.

However, the end-of-year inflation target remains unchanged at 15%. The Non-Oil Real GDP Growth rate was also revised upwards from 2.1% to 2.8%.

Nominal overall GDP has been adjusted from ₵1,050 billion to ₵1,020 billion, while Non-Oil GDP was revised from ₵979 billion to ₵977,093 billion.

Fiscal Stability and Revenue Projections

Dr. Amin Adam stated that the Primary Balance on Commitment basis is maintained at a surplus of 0.5%, aligning with the IMF-supported PC-PEG objectives. Gross International Reserves, including oil funds and encumbered assets, are expected to cover at least 3.0 months of imports.

The government has also revised Total Revenue and Grants upward by 0.5% to ₵177,220 million (17.4% of GDP) for 2024, up from the previous target of ₵176,414 million (16.8% of GDP).

This revision reflects an increase in Non-Oil Non-Tax Revenue, which is now projected at ₵15,638 million (1.5% of GDP), up from ₵14,837 million (1.4% of GDP), largely due to dividends from interest accrued in the ESLA accounts.

Despite the positive adjustments in GDP growth and revenue, Dr. Acheampong’s concerns about inflation underscore the challenges the government faces in stabilizing the economy amid exchange rate volatilities.

Tags: Exchange Rate Volatility Threatens Ghana’s Inflation TargetInflation Targetwarns Economist
No Result
View All Result

Highlights

PIAC yet to see Restoration of Funding Under ABFA Despite Assurance from President Mahama

GSE Closes Slightly Lower as Composite Index Falls 0.25%

Producer Price Inflation Rises Marginally to 3.2% in September 

LaLiga Cancels Barcelona vs. Villarreal Match Scheduled to Take Place in Miami

Black Queens Coach Confident Ahead Of WAFCON Qualifier Against Egypt

UEFA Champions League: Bayern and Real Madrid Stay Perfect, Liverpool and Chelsea hit Five In Record-Breaking Week

Trending

Business

IMF Managing Director Appoints Christian Mumssen as Director of the Strategy, Policy, and Review Department

October 23, 2025

IMF Managing Director Appoints Christian Mumssen as Director of the Strategy, Policy, and Review Department Kristalina Georgieva,...

Ethiopia’s Gold Rally Fuels Confidence in Stronger Currency

October 23, 2025

Senegal’s 2026 Debt Bill Jumps 11% After Hidden Loans Scandal

October 23, 2025

PIAC yet to see Restoration of Funding Under ABFA Despite Assurance from President Mahama

October 23, 2025

GSE Closes Slightly Lower as Composite Index Falls 0.25%

October 23, 2025

Who we are?

NORVANREPORTS.COM |  Business News, Insurance, Taxation, Oil & Gas, Maritime News, Ghana, Africa, World

NorvanReports is a unique data, business, and financial portal aimed at providing accurate, impartial reporting of business news on Ghana, Africa, and around the world from a truly independent reporting and analysis point of view.

© 2020 Norvanreports – credible news platform.
L: Hse #4 3rd Okle Link, Baatsonaa – Accra-Ghana T:+233-(0)26 451 1013 E: news@norvanreports.com info@norvanreports.com
All rights reserved we display professionalism at all stages of publications

No Result
View All Result
  • Home
  • Business
    • Agribusiness
    • Aviation
    • Energy
    • Insurance
    • Manufacturing
    • Real Estate
    • Maritime
    • Tourism
    • Transport
    • Banking & Finance
    • Trade
    • Markets
  • Economy
  • Reports
  • Technology
    • Cryptocurrency
    • Cyber-security
    • Social Media
    • Tech-guide
    • Telecom
  • Features
    • Interviews
    • Opinions
  • Lifestyle
    • Entertainment
    • Sports
    • Travel
    • Environment
    • Weather
  • NRTV
    • Audio
    • Video

Welcome Back!

Login to your account below

Forgotten Password?

Create New Account!

Fill the forms bellow to register

All fields are required. Log In

Retrieve your password

Please enter your username or email address to reset your password.

Log In
NORVANREPORTS.COM | Business News, Insurance, Taxation, Oil & Gas, Maritime News, Ghana, Africa, World
This website uses cookies. By continuing to use this website you are giving consent to cookies being used. Visit our Privacy and Cookie Policy.
We use cookies to ensure that we give you the best experience on our website. If you continue to use this site we will assume that you are happy with it.