Newly sworn-in Governor of the Bank of Ghana (BoG), Dr Joshnon Asiamah has said that his priority is on the need to preserve exchange rate stability and limit excessive volatility in the rates.
Speaking after his swearing-in on Tuesday, February 25, he said "The days of currency speculation and exchange rate instability must come to an end, and we are poised to ensure this happens. " In this regard, he said, the Bank of Ghana under his leadership will engineer a well-functioning, and stable foreign exchange market to support economic activity.
Among others, he said they "will implement strategic interventions, including the enactment of a new foreign exchange law to replace the Foreign Exchange Act 2006 (Act 723); implement targeted market operations to eliminate leakages of forex and improve our reserves management; deepen our participation in the Pan African Payment and Settlement System (PAPSS), allowing Ghanaian businesses to trade across Africa using local currencies instead of always relying on the US dollar; implement further reforms in the remittance space and collaborate with the Fintech and remittance agencies to harness remittances as a major source of FX; introduce structured and transparent systems that ensure fair pricing and fair distribution in the forex market; leverage our gold reserves and strategic foreign assets more effectively to support the Ghana cedi; reform the Bank of Ghana's Domestic Gold Purchase Programme to improve efficiency, enhance reserve accumulation, and increase transparency in gold transactions." Through these measures, he said they will build a more resilient foreign exchange market that inspires confidence among investors and businesses.
Dr Asiama further said that the BoG under his leadership will deepen their independence while also engaging constructively with the government and key stakeholders. "My priority is on the need to promote greater fiscal and monetary policy coordination while maintaining our operational independence.
