It’s not NDC or NPP magic, it’s Trump’s policies driving the dollar down – Kennedy Agyapong

Businessman and politician Kennedy Agyapong has responded to claims about the Ghanaian cedi's recent gains. He argues that these gains are due to global factors, not local government policies. He specifically points to U.S. politics as a key influence.

At a public event, Agyapong dismissed the idea that local economic actions caused the cedi's appreciation. He stated that the depreciation of the U.S. dollar is linked to broader global demand shifts. These shifts are influenced by former U.S. President Donald Trump's foreign economic strategies.

Agyapong said, “Today we are talking about dollar. I hear in the news all over.” He believes economists should be honest and not politicize the issue. He emphasized that neither the NDC nor NPP governments caused the dollar's decline.

He explained that Trump's policies have reduced global demand for dollars. This decreased appetite means more dollars are available without buyers. “It is Trump and his policies towards the rest of the world’s economy,” he noted.

Agyapong also mentioned intense economic competition between the U.S. and China. This competition is shifting global markets and affecting demand for dollars, which impacts Ghana’s exchange rate.

He warned that current gains in exchange rates are temporary. “Whatever they are saying... our country did not implement any policies that will bring the dollar down,” he cautioned.

Agyapong described these exchange rate gains as unsustainable and called for realistic discussions about the economy. He stated, “It is not any economic gurus in this country causing this change.”

He explained that reduced demand for dollars leads to an excess supply in markets. “As simple as that,” he added.

He urged Ghanaians to be cautious of political narratives surrounding this issue. “These are basic economics principles,” he said, stressing careful consideration of interest rates and other factors.

“It’s not magic,” he concluded, attributing changes to a struggling world economy with lower demand for dollars.