Mahama Makes New Promise To Boost Local Businesses, Pledges To Restrict Import Of Selected Items

• John Mahama has promised to implement import restrictions on specific essential commodities if he becomes president
• The National Democratic Congress (NDC) flagbearer gave some assurances to the Association of Ghana Industries
• Mahama said he would boost the production of certain local goods as part of his plans to restrict imports

National Democratic Congress (NDC) flagbearer John Mahama plans to restrict imports of certain products if he wins the December 2024 polls.

During a stakeholder engagement with the Association of Ghana Industries, Mahama said legislation was needed to support the businesses.

He noted plans to support the Volta Aluminium Company, for example.

The former president proposed augmenting local production capacities for these items and other items like rice, sugar, tomato, fish, poultry, meat, and meat products.

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“Once local capacity in the production of these and many other products is increased and boosted, we shall place restrictions on the unbridled importation of these items.”

For parts of 2023, Ghanaians imported products from 191 countries. According to the Ghana Statistical Service, this was 47 countries more than the countries they exported to.

Ghana recorded a trade surplus of GH¢2.4 billion in the first half of 2023, compared to a trade deficit of GH¢2.3 billion in the same period of 2022.

Ghana has had major forex problems because of its consistent balance of trade challenges.

Bloomberg has reported that analysts are predicting struggles for the cedi in 2024 despite the support of the International Monetary Fund.

The cedi is currently the third worst-performing currency in Africa after brief stability amid Ghana’s economic crisis.

Courage Boti, an economist at GCB Capital Ltd, noted that Ghana still had weak reserves despite a 10-month high of $5.9 billion.

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It was earlier estimated that the Ghana cedi would lose about 8.4% of its value to the US dollar in the retail market. The cedi lost 15.2% of its value in 2023.

Bank of Ghana urges businesses to stop pricing in dollars

Meanwhile, YEN.com.gh reported that the Bank of Ghana warned the business community in Ghana against pricing and doing other related activities in dollars and other foreign currencies.

The central bank said transacting in foreign currency in Ghana without authorisation is against the law.

The BoG said in a statement that it is collaborating with law enforcement agencies to continue the clampdown on businesses flouting the law.

Source: YEN.com.gh