• Tue. Aug 9th, 2022

Russia-Ukraine war has directly affected Ghana – Bawumia

Ghana is directly affected by the escalating geopolitical tensions between Russia and Ukraine, according to Vice President Dr Mahamudu Bawumia.

On Thursday, April 7, he told TESCON members that Russia supplies 30% of Ghana’s imported cereals, 50% of flour, and 39% of fertilizer.

As a result, he added, the war had an impact on the local economy.

“The crisis between Russia and Ukraine has worsened the rise in commodities prices.” Together, Russia and Ukraine contribute for 30% of world wheat exports. The longer the fighting lasts, the more the world food supply will be disrupted. Global growth is likewise likely to be slowed as a result of the country’s actions.

“Wheat prices have risen by 62 percent since the war began, according to the African Development Bank. Since the start of the war, the price of fertilizer has increased by 300 percent, while the price of corn has increased by 36%. Ukraine accounts for 60% of our total iron ore and steel imports in Ghana.

“Russia supplies 30% of Ghana’s imported cereals, 50% of flour, and 39% of fertilizer. As a result, the Russia-Ukraine conflict has a direct impact on us. We don’t know when it will end, unfortunately. Fuel price hikes around the world are causing hardship.”

He also stated that he realizes that the country is currently facing some difficulties.

He did say, however, that the administration had taken steps to alleviate the hardships that the people are experiencing.

“From the guy on the street to the business magnate, the economy’s health is the foundational instrument,” he remarked.

“What we feel in our pocketbook is the economy.” I recognize that we are going through a difficult period; this is the truth. Fuel and practically other goods are growing in price in our economy. The cost of living is rising.”

“Many Ghanaians were taken aback by these developments, and many questions regarding the status of the economy have been raised.” What happened to the fundamentals? is one of these questions. Why are goods and services costs rising so quickly? What is the reason behind the Cedi’s rapid depreciation this year?

“What accomplishments does the government have to show for the increased debt?” Where has the administration promised to establish a new economy? I’ll answer these questions with data and facts.

“I’ll admit there are obstacles, and we’ll all leave here knowing more about the economy, where we came from, and where we’re headed.”

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