{"id":1209750,"date":"2022-09-23T13:40:20","date_gmt":"2022-09-23T13:40:20","guid":{"rendered":"https:\/\/www.ghanamma.com\/2022\/09\/23\/phasing-out-%c2%a21-%c2%a22-notes-will-further-hike-inflation-iea-director-of-research\/"},"modified":"2022-09-23T13:40:20","modified_gmt":"2022-09-23T13:40:20","slug":"phasing-out-%c2%a21-%c2%a22-notes-will-further-hike-inflation-iea-director-of-research","status":"publish","type":"post","link":"https:\/\/www.ghanamma.com\/2022\/09\/23\/phasing-out-%c2%a21-%c2%a22-notes-will-further-hike-inflation-iea-director-of-research\/","title":{"rendered":"Phasing out \u00a21, \u00a22 notes will further hike inflation \u2013 IEA Director of Research"},"content":{"rendered":"

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The Director of Research at the Institute of Economic Affairs, Dr. John Kwakye is warning of further hikes in inflation if the Bank of Ghana phases out the 1 and 2 notes as planned.<\/p>\n

In a tweet, he said the planned move will not only put pressure on the 5 note but will also trigger higher inflation.<\/p>\n

\u201cPhasing out 1 and 2 cedi notes from the economy as planned by BoG will not only put pressure on the 5 cedi notes, but will also further fuel inflation\u201d<\/p>\n

Dr. Kwakye who is an immediate past member of the Monetary Policy Committee of the Bank of Ghana explained further that the country may undertake a redenomination of the local currency again in the future if it does not address the rapid depreciation of the cedi and inflation.<\/p>\n

\u201cIf we don\u2019t rein in inflation and cedi depreciation, it won\u2019t be long before we undertake another redenomination.\u201d<\/p>\n

\"Phasing<\/figure>\n

The country\u2019s inflation is one of the highest on the continent so far this year.<\/p>\n

It hit 33.9% in August 2022, the highest in 21 years, data from the Ghana Statistical Service (GSS) revealed.<\/p>\n

This is expected to increase the cost of borrowing by raising interest rates further, and consequently trigger increase cost of living and doing business.<\/p>\n

<\/div>\n","protected":false},"excerpt":{"rendered":"

The Director of Research at the Institute of Economic Affairs, Dr. John Kwakye is warning of further hikes in inflation if the Bank of Ghana phases out the 1 and 2 notes as planned. In a tweet, he said the planned move will not only put pressure on the 5 note but will also trigger […]<\/p>\n","protected":false},"author":1,"featured_media":1209751,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[72],"tags":[1749,1990,3577,227,12724,26189,6914],"class_list":["post-1209750","post","type-post","status-publish","format-standard","has-post-thumbnail","category-business","tag-director","tag-hike","tag-iea","tag-inflation","tag-notes","tag-phasing","tag-research"],"_links":{"self":[{"href":"https:\/\/www.ghanamma.com\/2022\/wp-json\/wp\/v2\/posts\/1209750","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.ghanamma.com\/2022\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.ghanamma.com\/2022\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.ghanamma.com\/2022\/wp-json\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/www.ghanamma.com\/2022\/wp-json\/wp\/v2\/comments?post=1209750"}],"version-history":[{"count":0,"href":"https:\/\/www.ghanamma.com\/2022\/wp-json\/wp\/v2\/posts\/1209750\/revisions"}],"wp:attachment":[{"href":"https:\/\/www.ghanamma.com\/2022\/wp-json\/wp\/v2\/media?parent=1209750"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.ghanamma.com\/2022\/wp-json\/wp\/v2\/categories?post=1209750"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.ghanamma.com\/2022\/wp-json\/wp\/v2\/tags?post=1209750"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}