THE INFLATION-DROP FARCE

Government statistician, Dr. Oti Boateng this week hinted that, the inflation rate in the country has dropped from 70.8 per cent in December 1995 to 29.2 per cent as at the end of March this year According to the statement, this is the first time since November 1995 that inflation has dropped to a level below 30 per cent.

The statement also said average yearly inflation has shown a similar consistent decline from 66.4 per cent recorded in March 1996 to 38.2 per cent in March this year. Such a statement should definitely gladden the heart of many Ghanaians whose economic situation keeps deteriorating at any passing second.

But viewing from a background that, inflation has been declining within the last year, without its attendants reflection in the lives of the many down-trodden, we wonder the reality of the statement. It gives us the cause to believe whether it is not another World Bank- like praises where the World Bank with its headquarters in New York has since the introduction of the Economic Reform Programme (ERP) in 1983 praised the Ghanaian economy whilst Ghanaians pass through the worst state of livelihood since 40 years of attaining Nationhood. We might not know the dynamics in big economic words like- macro and micro economics which anytime that major economic issues are presented to us, but in our ignorance just like the ordinary Ghanaian in the street, we thought a drop in inflation should have reflected in the standard of living of Ghanaians.

Our cedi keeps depreciating against the two leading currencies - Pound Sterling and the Dollar. As at last Monday, the Pound Sterling was being traded at 3,230 cedis for one Sterling with 2,030 cedis to the Dollar. Prices of food items keep soaring and as at now, the Ghanaians' only known inflation-cut has been associated with nature: that is when the rains do us favour to have good harvesting. The price of Petrol and petroleum products keep increasing much to the chargrin of Ghanaians.

Even those in authority, if could be that sincere, will tell Ghanaians that the 2,000 cedis minimum wage is indeed an insult as compared to the rotten Ghanaian economy. So what is there to benefit from the so-called decline in inflation. Perhaps, it is only those at the helm of affairs who are benefitting from the so-called drop in inflation.

Government men should explicitly explain this inflation drop to the Ghanaian and stop these rhetorical and theoretical explanations to supposedly burden-relief issues. Again, the authority should know that such academic explanations will not benefit anybody, and if it is meant to score political points, then sorry, it is a cheap propaganda which will only inflict further wounds on Ghanaians, who are now much awake to such trickeries.

It is our opinion that only an inflation-decline which effect would be felt in ordinary man's pocket that will be acceptable to the Ghanaian masses

Source: Ghanaian Independent