BoG Governor projects economy picking up strongly before end of year

The Governor of the Bank of Ghana has said even though government has projected a 0.9 per cent growth for end year, he is optimistic that growth would strongly pick up more than what has been forecasted by Finance Minister.

At a Monetary Policy Committee meeting, he said regarding the rising deficit and total public debt stock which now stand at ¢258 billion, it would all depend on the sector that the funds would be advanced, which could help stimulate growth.

Activities of the receiver of the defunct financial institutions

Dr Ernest Addison also disclosed that the receiver appointed to liquidate some of the commercial banks has been able to realise ¢2 billion.

On payment, the Governor noted that more than 96 per cent of the customers of the defunct Savings and Loans and Microfinance institutions have been paid.

Dr Addison was, however, hopeful that the remaining funds would be paid soon.  

Ghana cedi and half year performance

The Ghana cedi has witnessed some pressure in recent times, but the Governor assures of having the adequate reserves to support the local currency.

Dr Addison said forecast is also based on our export earnings also picking up strongly.

He was, however, worried about the recent payments and outflows, adding “We have received a lot of resources in the first half of this year, however, the outflows have also  been very significant.”

The Governor argued that when you look at outstanding payments of non-resident outstanding bonds and this is really a question of net inflows. 

Source:Myjoyonline.com