Cedi Performance: Bawumia did all the job – Tano North
Dr Gideon Boako, Member of Parliament for Tano North and a close aide to Ghana’s former Vice President, Dr Mahamudu Bawumia, has responded strongly to recent comments by Sammy Gyamfi, CEO of Goldbod. Sammy Gyamfi claimed that the Ghana cedi’s recent strength is because of the policies of the current Mahama-led administration. But Dr Boako says that’s not the full story — and Bawumia deserves the credit for cedi’s Performance.
In a post on Facebook, Dr Boako said even though President John Mahama is now back in office, the current stability of the cedi is because of the strong economic foundation laid earlier by Dr Bawumia and the NPP administration.
“President Mahama may be in charge now, but it is Bawumia’s earlier work that has made the cedi stable,” Boako stated.
The Background: Cedi Appreciates by 16.7%
Sammy Gyamfi, speaking in his capacity as head of Goldbod, explained that from January 2025 to now, the Ghana cedi has appreciated by 16.7% against major foreign currencies. In simple terms, this means the cedi has gained strength.
According to Mr Gyamfi, this is due to a few major factors:
Tight monetary policies by the Bank of Ghana
The increase in interest rate by 100 basis points
Increased gold exports and forex inflows
Remittances from Ghanaians living abroad
Strategic buildup of reserves by the central bank
He said these actions, especially with the global economy being relatively favourable, have helped the cedi gain value.
Boako’s Response: “That’s Not the Whole Truth”
Dr Boako wasn’t impressed with these claims. He said it’s not fair to give all the credit to the Mahama government and ignore the good work done earlier by the NPP under Dr Bawumia’s leadership.
“Like the typical NDC, Sammy Gyamfi is refusing to appreciate the facts,” Dr Boako wrote on Facebook.
He explained that the current government is using reserves that were built up during the NPP’s time in power — thanks to smart planning by Bawumia and his team.
“You should be thanking Bawumia and the NPP for building such a strong reserve for your benefit. Don’t be ungrateful,” he added.
NPP Surpassed IMF Target by End of 2024
Dr Boako continued by saying that by the time the NPP was leaving office at the end of 2024, Ghana had already met and even gone beyond the minimum reserve targets set by the International Monetary Fund (IMF). This made it possible to ease restrictions on using the reserves.
He warned the new administration not to mismanage these reserves without putting in measures to replenish them.
“My worry is that the current government does not seem concerned to keep building on the current reserves for future use,” Boako warned.
More Than Just Dollar Injections
According to Dr Boako, keeping the cedi strong is not just about pumping in more dollars into the system. He said structural reforms are more important — the kind of long-term changes that were carried out during Bawumia’s time in office.
He advised the current government to continue with forward-thinking economic strategies, not short-term fixes.
“Stabilising the cedi requires structural economic reforms beyond mere dollar injections,” he stressed.
“Think about the future like the NPP/Bawumia did and keep building our reserves,” he added.
Conclusion: Who Deserves the Credit?
So who really deserves the credit for the current strength of the cedi?
Sammy Gyamfi believes it is President Mahama’s policies, the Bank of Ghana’s recent decisions, and increased forex inflows from gold and remittances.
Dr Boako, on the other hand, says Bawumia and the NPP laid the solid foundation by building up reserves, and without that, the cedi would not be doing well now.
As the cedi gains strength, Ghanaians are watching. But one thing is clear — the debate over who deserves praise is far from over.
The appreciation of the Ghanaian cedi
The appreciation of the Ghanaian cedi against the US dollar is a welcome development for many Ghanaians. Over the years, the cedi has seen several periods of depreciation, causing prices of goods and services to rise and putting pressure on the pockets of ordinary citizens. So when the cedi starts gaining strength against the dollar, it brings some relief and hope to the people, businesses, and the general economy.
One major benefit of the cedi appreciating is the reduction in the cost of imported goods. Ghana imports many items like rice, oil, spare parts, electronics, and fuel. When the cedi gains value against the dollar, it means you need fewer cedis to buy the same amount of dollars. This helps importers to pay less for goods, and that reduction can be passed on to consumers in the form of lower prices.
The Business side
Businesses that rely on foreign inputs also benefit from a stronger cedi. They spend less on importing raw materials, machinery, or services. This can lead to increased profits or allow them to invest more into expanding their operations and creating jobs. A stronger cedi also helps the government. It spends less on servicing external debt, especially loans that are dollar-denominated. This frees up more money for development projects in health, education, and infrastructure.
Tourism and foreign investment can also be affected positively. A stable or strong cedi gives confidence to investors and tourists. It shows that the economy is doing well or at least being managed well, which can attract more foreign direct investment and boost tourism activities.
However, not everyone benefits from a stronger cedi. Exporters, for example, may earn less when the cedi appreciates. Since they are paid in foreign currencies like the dollar, converting to a stronger cedi reduces the amount they get in local currency. But overall, a strong cedi helps stabilize the economy, control inflation, and improve public confidence.
In conclusion, the appreciation of the cedi against the dollar is a good sign for Ghana’s economy. It helps reduce costs, boosts business activities, and gives the government more breathing space. While there may be some challenges for exporters, the overall impact is positive for most people, especially ordinary Ghanaians who are struggling with high prices and the cost of living.