Economist and Finance Professor at the University of Ghana, Godfred Bokpin, has credited the ruling government with stabilizing the Ghanaian cedi, attributing its recent appreciation against major foreign currencies to reduced government expenditure.
Professor Bokpin noted that the NDC administration has made significant strides in cutting down wasteful spending, contributing to the cedi’s stability. He highlighted that the government has reduced expenditure by GHS10 billion in just five months compared to 2024, a move that has helped inject stability into the economy.
Expressing admiration for the government’s swift actions, he stated, “We have seen this government do within five months what we have been calling for since COVID-19.” He emphasized the importance of fiscal consolidation and reducing unnecessary spending to prevent severe economic consequences.
Speaking on TV3’s Key Points, Professor Bokpin’s comments come amid a heated debate regarding the factors contributing to the cedi’s appreciation. While the ruling government attributes the gains to its policies, the opposition New Patriotic Party (NPP) contends that the improvement stems from their previous policies.
Former NPP presidential candidate Mahamudu Bawumia has argued that the ruling government cannot point to a single policy responsible for the cedi’s appreciation. Nonetheless, Professor Bokpin’s analysis suggests that the current administration’s actions have played a significant role in stabilizing the currency.
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