Polls could impact on Ghana economy

Mr Kofi Asare Pianim Stanbic Ghana-1From RUSSELL ADADEVOH in Accra, Ghana

ACCRA, (CAJ News) – AN expert in the Ghana banking industry projected the elections scheduled for next year to have a negative impact on the country’s economic growth.

Kofi Pianim, Head of Trading and Global Markets at Stanbic Bank Ghana, said this was among factors which threaten Ghana as an economy going forward.

He mentioned such factors as falling gold prices, plummeting oil prices and the cocoa supply coming under pressure.

“The last threat to factor in would be the 2016 election year speculation. Capital inflows will be reduced whilst capital outflows will increase in anticipation of a close election. Expectation is a peaceful outcome, however markets will price in any risk factors and this could exacerbate pressure for the period,” Pianim said.

General elections will be held in Ghana to elect a President and Members of Parliament.

Some tensions have characterised the run up to the poll.

On Wednesday, police in Accra, the capital, fired tear gas and rubber bullets to bar opposition protesters from the headquarters of the Electoral Commission (EC) to demand a new electoral roll.

President John Mahama is seeking a second term in next year’s election in what is expected to be a tight contest between him and the New Patriotic Party’s Nana Akufo Addo.

Meanwhile, the Cedi has been subject to volatility for the better part of 2015.  The unrest has been due to falling commodity prices globally and growing import demand locally. These challenges have are partially due to macro-economic imbalances arising from 2014.

The currency opened the year at 3,2 and is currently at 3,9.

– CAJ News

Short URL: http://cajnewsafrica.com/?p=8227

Posted by on Sep 17 2015. Filed under Africa & World, Featured, Finance, National, Regional. You can follow any responses to this entry through the RSS 2.0. You can leave a response or trackback to this entry

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