Deloitte’s George Ankomah Urges Government Action on Cedi’s Depreciation for Business Stability

George Ankomah, the Lead Partner for Tax and Regulatory Services at Deloitte, has emphasized the necessity for the government to address the country’s exchange rate, stating that the constant depreciation of the cedi against the dollar poses challenges for businesses.

Mr. Ankomah highlighted that unless the exchange rate situation improves, government interventions aimed at stimulating economic growth may not yield the desired results. He made these remarks in response to the Finance Minister’s announcement of tax waivers for certain locally manufactured goods, such as sanitary pads and African prints.

During an appearance on JoyNews’ Newsfile on Saturday, Mr. Ankomah expressed concern on behalf of many businesses and entrepreneurs, stating, “I have had interactions with some businesses who invested somewhere in 2014/2015.”

He explained the impact of the depreciation on trading businesses, where an investment in dollars is converted to Ghana cedis, leading to a reduction in capital as the cedi depreciates. Despite the economic opportunities in Ghana, he argued that prevailing economic conditions do not motivate investors.

Mr. Ankomah recommended that the government addresses the inflation crisis as a priority, emphasizing the correlation between inflation and the exchange rate situation.

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