Accra: President John Dramani Mahama has mandated that starting July 24, 2025, no government contracts will be awarded in foreign currency, regardless of the funding source. This directive aims to stabilize the national currency, the cedi, and address fiscal management risks.
According to Ghana News Agency, Dr. Ato Forson, the Minister of Finance, highlighted the significant risks associated with pricing goods and services and awarding contracts in foreign currency. He emphasized that these practices could undermine the stability of the cedi. Dr. Forson presented this concern while delivering the 2025 Mid-Year Budget Review in Parliament under the theme 'Resetting the Economy for the Ghana We Want.'
The Minister expressed concern over the increasing use of foreign currencies for transactions within Ghana, stating that this trend could diminish confidence in the cedi, exacerbate inflation, and degrade the value of the national currency, which symbolizes the country's sovereignty. The President's directive is a measure to counteract this disturbing trend.
Dr. Forson also reminded the public about the Foreign Exchange Act, 2006 (Act 723), which prohibits companies, institutions, and individuals from pricing, advertising, receipting, or making payments in foreign currencies within Ghana without explicit authorization from the Bank of Ghana. This reminder serves to reinforce the government's stance on maintaining the cedi's prominence in domestic transactions.
