BY AFIA ENGLISH
One District One Factory ‘ Is The Only Way To Permanently Stabilize The Ghana ‘Cedi’
The depreciation of the cedi against the dollar is a major problem. Few measures will be taken to stabilise it temporarily but what can the Bank of Ghana do to permanently stabilise the cedi against the dollar?
Governments will come and go but until we start operating the ‘one district one factory’ , this problem of depreciation of our cedi against the dollar will keep persisting.
I think ‘One District One Factory ‘ Is The Only Way To Permanently Stabilize The Ghana ‘Cedi’ .
So far as we import 90% of our consumed goods,our cedi might never be able to compete fairly with the dollar. With the existence of ‘ one district one factory’ ,which the incumbent government is preparing to establish, we will start consuming most of our own products instead of importing it. Consequently, there will be reduction of burden of foreign exchange expenditure on imports, balancing of trade as we start exporting some of our goods from the factories.
Just like eating candy, importing can have bad consequences. If you import more than you export , more money is leaving the country than is coming in through export sales.
We can try all the other measures of stabilising our currency against the dollar but the invention of one district one factory might be the way to PERMANENTLY stabilise it.
This is what I think. Do you agree or disagree?
Please do share your thoughts with me …