The Paramount Chief and the Agbogbomefia of the Asogli State, Togbe Afede XIV has attributed the prevalent hike in the prices of petroleum products in the country to the rapid depreciation of Ghana cedi.
According to him, even though global prices have shot up in recent times the declining value of the Ghana cedi remains a major factor that has negatively affected fuel prices in the country.
“So it is not local inflation per se, neither is it about world market price of crude but falling value of cedi, that is a big challenge. I was surprised when yesterday I heard the cedi has crossed the GHC8 mark to the dollar.
“When you imagine that only recently the cedi was GH5 to the dollar, it means that GHC8 to the dollar is a 60% jump over a short period. This means that even if the gold price is still the same the dollar effect alone will have meant a 60% rise in the local price of petroleum products,” he disclosed.
Togbe Afede XIV made these comments when the Board and Management of the National Petroleum Authority (NPA) paid a courtesy call on him at Ho in the Volta Region.
Togbe Afede noted that the Russian-Ukrainian crisis has affected globally the prices of petroleum products but was quick to add that the rapid depreciation of the Ghana cedi is a major factor.
A situation he described as double jeopardy for the Ghanaian people.
The Agbogbomefia further commended the NPA Board and its management for the gesture while urging them to work harder to bring efficiency to the sector.
The Chief Executive Officer (CEO) of the National Petroleum Authority, Dr. Mustapha Hamid in his part said the visit was to seek counsel and guidance from the traditional ruler who doubles as a businessman and a major player in the energy sector.
Touching on the recent fuel price hikes, Mr. Hamid intimated that the NPA and other relevant stakeholders including the government are taking rapid steps to mitigate the suffering of the Ghanaian people.