Reviving TOR Will Tackle Cedi Depreciation And Inflation – Duncan Amoah

The Executive Director of the Chamber of Petroleum Consumers (COPEC), Duncan Amoah says Ghana’s economy will remain overly exposed to volatility on the global market if it doesn’t commit resources to make the Tema Oil Refinery efficient.

According to him, an efficiently operating Tema Oil Refinery will ensure that the country saves foreign currency that would ordinarily go out of the economy in exchange for petroleum products.

Speaking on The Point of View on Citi TV on Wednesday, Duncan Amoah said, “the most critical thing the policy side should contemplate at this point is to restore those institutions [Tema Oil Refinery and Bulk Oil Storage and Transport Company] because of safety net [issues].”

He suggested that the average $450 million spent monthly by Ghana to import petroleum products is too much and must be reversed to strengthen the cedi and stabilise the economy.

“You cannot continue to be an oil-producing country and kick out your refinery. If we knock out the refinery, what it simply means is that you are going to depend on Europe for your economy to run because virtually what your vehicles and engines would consume would have to be imported and that explains why the Ghanaian cedi has never been able to perform well because if you’re importing $450 monthly for petroleum products alone, you can imagine how much it takes away from your economy,” he noted.