Ghana’s currency crisis may have just started as there is growing evidence of businessmen using forward rates to set prices of goods purchased to ensure their capital is not eroded by forex volatilities.
The latest example of this development was revealed by the Executive Director of Institute of Energy Security Nana Amoasi VII who told Sena Nombo Bulk Distribution Companies have been forced into using up to ¢11 as the cost of the dollar in their projections because of the rising cost of the dollar.
The energy sector advocate told Sena Nombo, the BDC’s recently paid ¢10.20p for $1 even though the Bank of Ghana set the cedi to dollar exchange rate at ¢8.08.
Nana Amoasi VII said the Central Bank’s rates are inconsequential as the BDC’s depend on commercial banks and the black market for their dollar supply that is used in exporting refined petroleum products for the Ghanaian.
He said the exchange rate volatilities would make it impossible for the price of petrol and diesel to be reduced despite the fall in prices of the commodities on the international market.
Nana Amoasi was speaking in an interview on the Gold Morning Conversation on Radio Gold.
The Institute for Energy Security has already predicted that prices off diesel and petrol would go up in the next pricing window.