BoG’s exchange rates not reflective of reality; they are artificially created – Banking Consultant

Banking Consultant, Dr. Richmond Atuahene, has argued that recent gains in the cedi’s value should not be seen as a sign of recovery, as the exchange rates provided by the Bank of Ghana (BoG) are artificially controlled.

Speaking in an interview with Starr FM, Dr. Atuahene noted that while the Cedi showed slight appreciation against the dollar on November 12, the figures quoted by the central bank do not reflect the true rates in the foreign exchange market.

“We shouldn’t take solace in the 16-something exchange rate. It’s not an accurate depiction of the reality in the market,” he cautioned.

Dr. Richmond Atuahene explained that while the official rate for the dollar was GHC16.25, the rates at forex bureaus were significantly higher, around GHC17.35.

He criticised the BoG's approach, stating that not everyone can access dollars at the bank rates, and even when they do, the banks often do not have enough dollars.

“The rate quoted by the Bank of Ghana is artificially created. The real exchange rate is what you see in the informal market,” he emphasised.

His remarks highlight growing concerns about the disparity between official BoG rate and market rates, suggesting that the cedi’s apparent stability is misleading and does not capture the economic challenges faced by Ghanaians.