Professor of Applied Economics at Johns Hopkins University Steve H. Hanke has reaffirmed the necessity for a currency board to be established by the leaders of the Ghanaian economy in order to salvage the cedi's declining value relative to the dollar.

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The Professor, who resides in the US, has been following and analyzing the Ghanaian economy for some time, making observations about how the local currency is losing value in relation to the US dollar.On October 20, he tweeted that the cedi had dropped to position 4 on his weekly Hanke's currency monitor after losing 43.98% of its value against the US dollar since January 2022.

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He said, for the cedi to gain its strength and appreciate against the US dollar, the President together with the managers of the Ghanaian economy must install a currency board."The Ghanaian cedi has depreciated against the USD by 43.98% since Jan 2022, which is why #Ghana takes the 4th place in this week Hanke’s #CurrencyWatchlist. To save the cedi, GHA must install a #CurrencyBoard, NOW," Prof. Steve Hanke's tweeted.

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The Cedi has recently been classified by Bloomberg as the worst-performing currency against the US Dollar.Currently, the Cedi is trading at around GH¢13 – GH¢14 to a dollar at some forex bureaus. The depreciation rate is a contributory factor for the ongoing shop closures ordered by the Ghana Union of Traders Association (GUTA).

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According to the group, the fast depreciation of the Cedi is eroding their profits and also increasing the cost of doing business.

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