New Cedi Notes Unnecessary — Former Dep. Finance Minister

There was no justification for the government to introduce the new GH¢100 and GH¢200 notes, a Member of Parliament for Cape Coast South, Mr Kweku Ricketts-Hagan, has said.

He said per his calculations, the introduction of the new notes was fraudulent because there was no economic justification for it to have been introduced.

Speaking to the Daily Graphic in an interview, the former Deputy Minister of Finance said in an economy where the government was touting low inflation figures, it was economically unjustifiable to introduce “high value denomination”.

“The introduction of high denomination generally suggests that inflation is rising, but that is not the case according to the government’s own recent budget,” he said.

The Governor of the central bank, Dr Ernest Yedu Addison, in November this year announced the introduction of GH¢100 and GH¢200 notes to the country’s currency denomination.

He also announced that a ¢2 coin had been introduced.

According Dr Addison, a lot of thinking went into the decision to introduce the higher denomination banknotes as the structure of the banknote was expected to align well with the needs of the people who used them for their daily transactions.

“We need banknotes and coins that are convenient for most people to use, high quality, secure and cost-effective. Accordingly, in March 2017, the Bank of Ghana began a process of conducting a thorough review of the structure of the currency, including the note/coin boundary and acceptability and use of the individual currency series,” Dr Addison said.

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