The Greater Accra Regional Chairman of the Association of Ghana Industries (AGI), Tsonam Akpeloo, has called on the government to take immediate action to halt the growing dollarization of Ghana’s economy.
Akpeloo expressed concern over the increasing tendency to price goods and services in dollars, which, he believes, exacerbates the depreciation of the cedi.
“Most of the goods are dollarized. If you want to rent certain houses, they quote in dollars. That has to stop with immediate effect,” he stressed.
Speaking on the Business Fix program, Akpeloo highlighted the need for stronger implementation of the existing law against dollarization, stating that its lax enforcement has allowed the practice to persist.
“Even though there is a law against dollarization, it’s not being implemented effectively,” he noted.
He warned that continued dollarization would further weaken the cedi, with businesses and individuals needing “a lot more Cedi to be able to pay” for dollar-quoted goods and services.
In addition to ceasing dollarization, Akpeloo urged the government to prioritize bolstering the country’s buffer stock, particularly within the agricultural sector.
He pointed out that about 70% of goods consumed in Ghana are imported, including raw materials for industries, putting immense pressure on the cedi.
“Most of our industrial establishments rely heavily on raw materials from abroad,” he explained, adding that local production must be improved to reduce reliance on foreign exchange.
Ahead of the December general elections, Akpeloo emphasized the need to shift from import dependence to local sourcing of materials.
He believes that strengthening local production, especially in agriculture, is essential for stabilizing the cedi and ensuring sustainable economic growth.
“We must beef up our buffer stock in the agricultural sector to ensure we can source some of the raw materials locally,” he added.
