The Ghana Union of Traders Association (GUTA) has urged government to take immediate actions to strengthen the cedi against major trading currencies, particularly the dollar.
In a statement dated May 14, GUTA expressed its willingness to collaborate with the government and other stakeholders to address this pressing issue.
The association highlighted the severe impact of the cedi’s depreciation on the business community, especially the trading sector, describing the situation as a crisis. It noted that the weakening cedi, along with rising freight charges from Asia, is making the cost of doing business increasingly unbearable.
GUTA highlighted that the depreciation of the cedi has led to inflationary pressures, pushing the cost of goods sky-high and making it increasingly challenging for businesses to remain viable.
It said the situation has also affected the purchasing power of consumers, leading to a decrease in business turnover.
GUTA further noted that the repayment of bank loans has become extremely difficult due to these economic conditions.
The union also drew attention to the rising freight charges and customs duties benchmarked in dollars at the port, stating that these factors are crippling trade and commerce, leading to severe hardships for businesses and consumers alike.
GUTA also pointed out that the current economic conditions have increased the unpredictability of businesses and the value of credit purchases, making it difficult for traders to repay goods bought from overseas suppliers and leading to higher business indebtedness.
