Ghana not prepared to sign onto ECO – BoG

Must Read

I’ll expose you if you don’t stop talking “rubbish” about Rawlings – Koku Anyidoho warns Kwesi Pratt

A former Deputy General Secretary of the opposition National Democratic Congress (NDC), Koku Anyidoho has warned the Managing Editor...

I didn’t intend to be a difficult guest to Serwaa Amihere – Oppong Nkrumah responds

Following what has been described as a gaffe on the part of GH One's presenter, Serwaa Amihere during an...

Social media users damn Anas’ recent work as “mediocre, distorting and malicious”

Ghanaians on social media have reacted to the exposé by undercover journalist, Anas Aremeyaw Anas which seeks to unravel...

Bank of Ghana (BoG) has indicated that Ghana is not prepared to adopt the ECOWAS single currency, ECO, anytime soon, ABC News can report.

The Central Bank admitted that Ghana, like many other Anglophone countries, is finding a tough time meeting the threshold established to make it eligible to sign onto the currency.

The ECO is a common currency proposed to be used by ECOWAS member states to break trade barriers and boost integration.

Already eight Francophone countries have signed onto the currency. They are Benin, Burkina Faso, Guinea Bissau, Ivory Coast, Mali, Niger, Senegal and Togo.

Despite the unpreparedness, the government of Ghana has committed to make the ECO a legal tender, as soon as possible.

Speaking in an interview, the Head of Currency Management, BoG, John Gyamfi noted that the eight francophone countries have been able to achieve the feat because they have a common central bank and currency, making things quite easier for them.

“The Francophones have stuck together, they have a single central bank issuing CFA. So the CFA has been supported by French France, now Europe and so they have a fixed exchange rate arrangement. Unfortunately, the Anglophone countries are on our own separate… and then before we can even come together to do what the French people have done, there are certain criteria to meet,” he said.

The criteria, he said, included having low and stable inflation of five percent or less which appears to be a hard nut to crack for many Anglophone countries.

“As I speak I don’t know of any of the Anglophone countries that have met this criterion.

“You have to make sure you have gross international reserves at all times that will meet at least three months of import, financing to GDP is four percent or below. These we call the principal criteria for adopting the ECO,” he noted.

“We have to meet it and sustain it but the evidence on the grounds is that the Anglophones, one will meet it this year, next year he has flopped, another will meet it, somebody meets three instead of four and things like that,” John Gyamfi conceded.

Source: ABCNewsgh.com

Submit your stories or articles to newsroom@abcnewsgh.com or Whatsapp them to +233 553620623

- Advertisement -

Comments

Latest News

Police scan La Tawala Beach following grenade explosion

The Ghana Police Service has begun scanning the La Tawala Beach in Accra following an explosion at the beach,...

Film Producers Association suspends Tracey Boakye

Film Producers Association of Ghana (FIPAG) has indefinitely suspended Ghanaian actress and film producer, Tracey Boakye. This comes after, Tracey Boakye clashed with musician MzBel...

Aggrieved parents confront Morning Star School authorities over fees

Angry parents of pupils of The Morning Star School in Accra Monday, descended on the school, requesting an immediate negotiation of fees for “online...

Disregard rumors of reopening of school for continuing students – Education Minister

Education Minister, Dr Matthew Opoku Prempeh has urged the general public to disregard statements making the rounds that some Universities are going to be...

Impacts of COVID-19: Ghanaian economist proposes 3 debt management strategies for African economies

The COVID-19 global pandemic has greatly hit African economies and has threatened the debt sustainability of levels of some of these teething economies on...

More Articles Like This

%d bloggers like this: