I will stabilize the Cedi with our plenty gold – Mahamudu Bawumia

The flagbearer of the New Patriotic Party (NPP), Dr Mahamadu Bawumia reiterated his commitment to stabilize the cedi if given the mandate as president.

Dr Bawumia said Ghana has gold and should use that as an anchor to strengthen the currency. He said once there is a gold reserve, it is easy to stabilize the Cedi, saying there is no alternative.

“Ultimately, my goal is that we are going to back our currency with gold and that is where I want us to go, increasingly backing our currency with gold. Because it is very easy for us to do so if you keep having the gold reserves,” Bawumia told Organized Labour.

“And that will keep a lot of stability in the exchange market. Because right now we don’t have an anchor to hold the currency, but if we back it with gold, it will be very stable, because its value ultimately will be reflected by the value of gold, which is very stable,” he explained.

Bawumia has often touted the country’s potential with gold. The NPP seems to be a strong believer. The government introduced gold for Oil in 2023 when importers of petroleum products struggled to get the United States dollar to pay for oil. It is yet to be seen how people will receive the idea of using gold to stabilize the Cedi despite many people crticizing the gold for oil policy.