Ghana Must Join CFA Zone - Economist

A senior lecturer at the Economics Department of the University of Ghana says considering Ghana’s geo-political location it is more prudent to subscribe to the CFA monetary zone rather than the new common currency zone being developed by the English-speaking countries in the West African sub region.

He says since country’s principal trade partners are its cross boarder neighbours, Togo, Burkina Faso and the Ivory Coast who are in the CFA franc zone it would be more reasonable forging partnerships with them.

Dr. Gockel was commenting on the country’s economic performance for the year 2002 at a roundtable discussion organised by the Private Enterprises Foundation in Accra. Dr. Gockel contends that the advantages of the proposed common currency zone are only theoretical. He says the countries which are developing the new monetary zone cannot meet the set criteria.

Dr. Gockel is also urging the government to redirect its efforts into developing structural and institutional policies that would facilitate the implementation of sustainable fiscal policies and keeping inflation low.