'Dollar is rising because people are hiding it in their homes' - Agya Koo claims

Popular Ghanaian actor Kofi Adu, widely known as Agya Koo, has voiced his concerns over the persistent decline of the Ghanaian cedi against the US dollar, attributing the issue to deliberate sabotage.

Speaking in an interview on Kumasi-based Oyerepa TV, on July 4, 2024, Agya Koo claimed that certain individuals are stockpiling large amounts of US dollars in their homes to destabilize the local currency and undermine the government's efforts to stabilize it.

"You want the disgrace of the government, so you hide huge monies under the bed. But for you sleeping on such huge money, the dollars are not printed in this country," Agya Koo stated during the interview.

He emphasized that the scarcity of dollars in the market is due to people hoarding the currency, making it difficult for others to obtain it through legal channels.

"My understanding is that if you want some of the dollar to buy, you should have gotten some too, but you won't get some to buy. The one in the bank cannot be found. People have it in huge notes and sleep on it for the government to suffer. So that is how it is," Agya Koo elaborated.

Meanwhile, Research firm, IC Securities, has predicted that the Ghanaian Cedi will reach GH¢15.91 to US$1 by the end of the year.

The revision from the initial forecast pegged a dollar to cedi rate at GH¢13.20. But IC Securities said the current macroeconomic conditions have placed the local currency in a tough spot against major trading currencies.

The firm noted that the Bank of Ghana's adjustment to the Cash Reserve Requirement (CRR) had a limited impact on reducing local currency liquidity, as banks converted their maturing securities into CRR positions.

IC Securities also stated that the clearance of contractor arrears contributed to an increased supply of Cedis in the forex market, putting further pressure on the local currency.

The appreciation of the Dollar against the cedi is attributed to the hoarding of dollars by certain opposition members who wants to come to power.

- Agya Koo

a member of the Bawumia campaign. pic.twitter.com/1u1C25TTz7

— Yayra Koku (@YayraKoku) July 5, 2024