The Chief Executive Officer of the Association of Ghana Industries (AGI), Seth Twum Akwaboah, has emphasized that maintaining stability in the Ghanaian cedi is far more crucial for the country’s economic growth than short-term gains or losses in its value.
Speaking at the Association’s Annual General Meeting (AGM) in Tema, Mr. Akwaboah commended government efforts toward improving the macroeconomic environment — noting the decline in the policy rate, falling inflation, and a relatively stable exchange rate.
“We’ve seen a significant drop in the policy rate, inflation has gone down, and the exchange rate has been fairly stable — even appreciating at some point,” he stated.
However, the AGI CEO cautioned against focusing too heavily on whether the cedi is appreciating or depreciating, stressing that what matters most to businesses is predictability. “It’s not about appreciation or depreciation — stability is what we need. If businesses can forecast currency trends over a period, they can plan effectively,” he explained.
Despite the improvements, concerns were raised at the AGM about the impact of the cedi’s appreciation on local industries. Mr. Akwaboah revealed that several companies are struggling due to a surge in parallel imports, which has increased competition for locally produced goods.
“While cheaper imports may appear beneficial to consumers, the rise in under-declared and under-invoiced goods — many of which are smuggled — poses a major threat to local industries,” he cautioned.
He urged government to strengthen surveillance and enforcement systems to curb such practices and to provide targeted support for domestic manufacturers facing unfair competition. The AGI also called for stronger measures against parallel imports to protect local industries and boost the 24-hour economy initiative through import substitution.
Members at the meeting also expressed disappointment over the absence of Customs officials, noting that their input was critical in addressing recurring delays at the ports — delays that often result in demurrage charges due to documentation bottlenecks. It was resolved that Customs representatives will be included in all future AGI engagements, including annual meetings.
Meanwhile, Tema Regional Chairman of AGI, Eddie Akwetey, stressed the need for affordable and reliable energy to support industrial operations. He also encouraged efforts to bring all companies in the Ningo-Prampram district under the Tema chapter and urged members to explore available land for industrial expansion.
The AGM concluded with interactions between members and aspiring candidates ahead of the AGI executive elections slated for November 27, 2025.
Source: thebftonline.com
