Pharmaceutical sector responds to Cedi stability, announces price cuts to support public health

The Ghana National Chamber of Pharmacy (GNCoP) and the Pharmaceutical Importers & Wholesalers Association (PIWA) have praised the Government of Ghana. They commend the Ministry of Finance and the Bank of Ghana for recent policies. These measures have led to a significant appreciation of the Ghanaian cedi against the US dollar.

In a statement on Wednesday, both organizations noted that the cedi's performance indicates improving macroeconomic stability. This improvement is benefiting Ghana’s import-reliant pharmaceutical sector.

The sector imports many active pharmaceutical ingredients (APIs), finished products, consumables, and equipment. The stronger local currency has eased operational costs for businesses in this field.

Key impacts include:

- Reduced Import Costs: A stronger cedi has lowered foreign exchange costs. This change translates to lower prices for essential medicines and health products.

- Better Business Planning: Greater currency stability improves pricing predictability. This is especially beneficial for small and medium enterprises in the sector.

- Improved Access to Medicines: With reduced financial pressure, pharmacies can maintain stock levels better. This enhances access to essential medicines and improves health outcomes.

Despite these gains, many pharmaceutical businesses still face challenges from past currency depreciation. High procurement costs for older stock remain an issue.

In support of government inflation control measures, GNCoP and PIWA announced a price reduction of 5% to 15% on all pharmaceutical products.

“This decision shows our commitment to national development and public health,” said Pharm. Audrey Serwaa Bonsu, CEO of GNCoP.

“We aim to help reduce inflation, ease consumer pressure, and improve access to medicines.”

The pharmaceutical bodies also urged the government to continue its prudent economic management. They called for increased support for private sector players in healthcare.

They reaffirmed their commitment to working with all stakeholders. Their goal is to ensure medicine security, affordability, and resilience in Ghana’s public health system.

This price cut is expected to provide relief for consumers and healthcare providers amid ongoing efforts to stabilize the economy.