Former Presiding Member wants BOG Governor to stop dollarization to save the economy

The former Presiding Member of the Wenchi municipal assembly, Honorable Samuel Mensah wants the Governor of the Bank of Ghana Dr... Addison to stop dollarization to save the country's economy.

Honorable Samuel Mensah who is a former branch manager for the GN bank explained that the continuous depreciation of the Ghana cedi is a failure of the Bank of Ghana to enforce prudence forex policy.

In an interview with our correspondent Nana Anfreh Damanata, the former Presiding Member said the regulator of the banking industry encouraging the dollarization is a violation of the country's laws on foreign exchange transactions.

" Why to allow people to convert cedis to dollars or pounds without any support documents of any foreign transactions, why to let people keep and operate a foreign account yet the person does not deal in any foreign business he queries.

Honorable Samuel Mensah said the violations include banks crediting the foreign exchange accounts of customers with proceeds from private sector exports and using them for investments and transactions abroad without documentation of such proceeds.

He added that unauthorized externalizations of banks infringe on regulations under the foreign exchange Act and also undermine the central bank's efforts of ensuring judicious use of foreign exchange resources.

The former GN bank manager also explained that the constrained supplies of foreign exchange in the market, thereby putting pressure on the domestic currency (cedi)

Governor of the Bank of Ghana has failed this government in managing the cedi depreciation he stated.