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Bawumia told to stop squawking like a parrot and fix Cedi

Former Deputy Finance Minister, Cassiel Ato Forson, says Dr Mahamudu Bawumia should refrain from engaging in “pedestrian politics” and concentrate on salvaging the dwindling fortunes of the local currency, the Cedi.

The Member of Parliament for Ajumako-Enyan-Esiam insists it is about time the vice president halted his public outbursts against perceived political opponents and fix challenges bedeviling the economy.

In a statement, the former minister stressed that Dr Bawumia’s abrasive posturing and acerbic tongue towards critics of the government demonstrate how intolerable he can be.

Mr Ato Forson’s harsh comments come in the wake of the vice president responding to former president Mahama’s criticisms of how the NPP administration has managed the economy.

Dr Bawumia in his responses said; “In the entire eight years of President Kufuor’s (NPP) rule from 2001 to 2008, the value of the Cedi relative to the dollar moved from GHc0.7 to GHc1.2, representing a depreciation of 72%.

Bawumia Schools Mahama On Cedi Performance

“However, in the eight years rule of both Presidents Mills and Mahama (NDC) from 2009 to 2016, the Cedi depreciated by 247%, moving from GHc1.2 to GHc4.2. Such higher rate of depreciation in less than a decade is simply unacceptable and signifies high levels of incompetence.”

But Mr Ato Forson contends that the Veep’s calculations are flawed.

“While it is known that the use of false methodologies is very typical of the Vice President, he could have consulted the Bank of Ghana who would confirm that the rate of change formula is not what is used to calculate exchange rate depreciation.

“To determine the accurate rate of depreciation or appreciation, the current rate is subtracted from the previous rate and the answer divided by the current rate which is then multiplied by 100 [(Previous Rate-Current Rate)/Current Rate] x 100,” Mr Ato Forson explained.

“If Dr Bawumia was minded to do an accurate and honest calculation, the respective percentage of depreciation would have been 41.6 percent under President Kufour; 71.4% under Mills/Mahama; and 6.6% for the 15 months of the Akufo Addo/Bawumia government. These figures are significantly lower than the 72%, 247% and 7% quoted by Dr Bawumia in his statement.”

In his view, Dr Bawumia was reaching for low hanging fruits by comparing “15 months of the government he is part of to eight years of previous governments.”

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