[Special Release] How is Ghana Celebrating 60 Years of the Cedi and Its Economic Evolution? – Bernard Otabil [Season 2 | Episode #25]

Shaun Ferrari 00:00:33 Hello everybody. Thank you for joining us on our special here in Bali, location of the P.I.T. Exchange, where we talk about the latest in payment innovation and technology. I’m Shaun Ferrari with Currency Research, your host again this week. And here I’m thrilled to be joined with Mr. Bernard Otabil with the central Bank of Ghana. Good to see you.

Bernard Otabil 00:00:56 Very much. So very much. It’s been a well.

Shaun Ferrari 00:00:59 It has been a while. How how have you enjoyed your time here in Bali?

Bernard Otabil 00:01:03 It’s been short and you’ve kept us busy. In the past few days, but it’s been fantastic. Bali is beautiful, you know, very, you know, has a lot of rich cultural heritage, I understand.

Bernard Otabil 00:01:14 And we’ve had the opportunity to look at some of the beautiful beaches.

Shaun Ferrari 00:01:17 Yes. Yeah. We’ve. So for those of you that are joining, we are in Bali at the Asia Cash Cycle Seminar, and we’re thrilled to be working with the Bank of Ghana on its 60th anniversary celebration of the CD.

Bernard Otabil 00:01:31 Yes, yes, yes.

Shaun Ferrari 00:01:33 And Bernard is here, as well as with another a larger delegation from the Bank of Ghana really focusing on on that event and talking to the delegates about it and also learning a lot from the region. Bernard gave a great presentation this morning on on the upcoming celebrations in Ghana. I don’t know if you just want to tell the audience a little bit more about what we have on tap for the anniversary celebration.

Bernard Otabil 00:01:57 I mean, it’s exciting time in Ghana now. Yeah. On July 19th, The city with the local currency actually ten, six years. And you know what I mean? I mean, the currency of every country is its business card. I mean, this is a symbol of our heritage.

Bernard Otabil 00:02:11 It’s a symbol of our sovereignty. It’s a symbol of everything to do with Ghana as far as the economy is concerned. It’s going to, you know, evolution here in that region of nation and everything that you would expect that the currency will go through. I mean, currencies evolve as economies develop. And, you know, economies are not static. They evolve over time. So that has been the story of the city. And I mean, it’s so great. I mean, the city is still one of the strongest currencies in the world. Last time I checked, you are the second best globally. And if you look at it that way, then there’s a lot for us to really celebrate. So come November 17th to the 20th, it’s worth having a city conference, of course, in partnership with the, you know, currency research group. So what do you have to expect? We are going to have some of the best experts in the field, just as we’ve experienced here, taking a deep dive into the versus the Ghanaian economy.

Bernard Otabil 00:03:00 if you’re looking for life opportunities out what it is that you can find in Ghana. You find it there. And then also you have this whole thing to do with, taking a deep dive into the CBDC. The OECD, what has been what has been the success story. It’s been piloted and you know, the pilot, the the story out of the pilot has been well received and a lot of people are looking into learning more about it. So what is the next step, the next two years about the ECB and those who are looking at also looking into the central bank digital currency, it is the time for you to come around and have a look into it. You have the stablecoin, you know, everything to do with it. What is the future of money? You know, broadly, I mean, we’ve had some discussions along these lines. Is it going to be all digital payments or you are going to have a mix or a balance between cash and digital payment? And then you also have a very internationally, you know, acclaimed speakers, you know, somebody from a former employee from the reserve Bank and others who have been there and have that kind of experience to do with the car cycle, for example.

Bernard Otabil 00:04:03 How vibrant are we trying to do it and more. Also, on the sustainability aspect of it, in terms of the cars, you know, cycle that we really handle in that sense. So it’s going to be a very fantastic, three day event and capping it with a very rich cultural, you know, exhibitions and so on and so forth. But let me also add that, headline sponsors and other exhibitors, who are interested in, you know, exhibiting, should really be free to contact Cancer Research or ourselves and Bank of Ghana and we take them through everything that they need to do. The floor plan is ready.

Shaun Ferrari 00:04:38 The floor plan is ready. We saw some great pictures of it inside.

Bernard Otabil 00:04:41 And, you know, locally we also have our local banks and financial institutions all eager already, you know, to take part in the program itself. So it’s it’s going to be a very exciting period. we expected more than 600 participants, 250 VIPs from the international community and about 400 locally, to to be part of this occasion.

Bernard Otabil 00:05:03 the uptake has been good. Yeah. And speaking to some of the participants, they’re looking forward to it. And it’s quite amazing that a number of them have not been to Ghana before. And they see this as a very great opportunity to come to the blast.

Shaun Ferrari 00:05:14 Out of it is a it is a great opportunity. And I was there several weeks ago looking at where it’s going to be. And I was really thrilled and just, it was my first time in Ghana weeks ago. And it was it was amazing. I mean, I think people would really, really like it. and you see, the culture is fantastic. the the venue is, is amazing. I think it’ll be a really, really good experience for folks. So, so they should come and it’s and it’s part of a longer celebration. Right. There’s a, there’s a whole six month.

Bernard Otabil 00:05:41 But we extended even beyond the CDC. The city is strong. Ghana is open to business. And there’s a lot that you can really do in Ghana.

Bernard Otabil 00:05:49 And, you know, stability. You find it in Ghana, the black South Africa. And as we say, it is actually the gateway, you know, to Africa. So if you really want a very good destination in terms of the, you know, your investment and you are a bargain hunting investor. There’s no way else that you have to look at that to look at the Ghanaian economy.

Shaun Ferrari 00:06:06 Yeah, yeah. And you mentioned there’s going to be a lot of commercial banks, that will be present. That’s right. To talk about the you mentioned kind of just the vibrancy of the economy and the financial. I think that was one of the things that I noticed as I was walking around, particularly that region, in downtown Accra. there are so many banking hub centers there. That’s right. It’s just a lot of financial industry there. So it should be a fantastic location.

Bernard Otabil 00:06:34 And most importantly also, we are doing well on the financial inclusion side. Yeah. going up the ladder, you know, at every point in time, we’re doing everything that it takes to make sure that nobody is financially excluded.

Bernard Otabil 00:06:45 You know, to be deprived. I mean, not to really have that digital compliant kind of system. within the financial, ecosystem. It’s always going to be a very, very, you know, serious risk to any economy. And that’s something that we’ve done through, mobile money into probability is available. The banking system is vibrant, is strong. You know, profitable or the financial indicators point to, something exciting that really happened. But on the broader economy aspect, we focus in a very good, good, good, you know, recovery. And as you very much know, as the other participants were, we’re asking, you know, what happened to your domestic debt testing program? We had you went through a bad part in the past as well. So, yes, we had a period where inflation went up the roof. So about 54.1% today as we speak, inflation, the trajectory the inflation has come down to 11.5%. The monetary policy rate is also trending downwards. All the factors point to the fact that this is the economy that is really strong, and that is on the path of full recovery.

Bernard Otabil 00:07:50 So we’ve made very good strides in what we do. The, you know, foreign reserve at five strong, currently 4.5 months of import and so on and so forth. So all the indicators, you know, are pointing up and therefore it is the right time, right time for those who are, you know, planning or visiting Ghana to come. This is the time to come and experience what it’s, you know, good out there.

Shaun Ferrari 00:08:11 Yeah, absolutely. And it’s one of the friendliest places I’ve been to. Everyone is so friendly.

Bernard Otabil 00:08:16 And what about your experience?

Shaun Ferrari 00:08:18 Yeah, so I went. So those of you that don’t know, there’s a I’ll describe it the best way I can and you can correct me, but there’s a, a tro tro method of transportation where there’s a lot of traffic. and there are these little, minivans, slash buses, but vans really that drive up and down the street and people just hop in, pay a little bit of money. They’re not. They’re very inexpensive.

Shaun Ferrari 00:08:42 You just hop in and kind of go the direction they’re going, and then you hop out where you want to. It’s a little chaotic, but they weave in and out of traffic. It’s a little scary, but it gets you where you want to go pretty fast. And I found it very welcoming and, and and fun kind of. I mean, I don’t know, I I’ll leave it to you whether or not you want to recommend people do it. But it was a.

Bernard Otabil 00:09:04 Oh, well, I mean, it’s it’s a very. Absolutely. You know, stated it’s it’s a very convenient means of transport. Yeah. That is adopted by a lot of people. I mean, I used to have it, in my days, in my early days going to school, you open all you get and it takes you there. Yeah. Convenient. Yeah. And also, you know, yeah, it can be a hassle sometimes when the traffic is so, a bit fake in that sense, but by and large, so true is the experience that it is.

Shaun Ferrari 00:09:32 And I think what, what I liked about it too, I mentioned the friendliness of, of the culture. But it’s, it’s also the amount of different, different types of people on the show. It was a great experience. There were, as you said, there were like people going to school. Yes. There were people in suits coming back from work. There were local people just out for the day doing whatever they do, just going back and forth.

Bernard Otabil 00:09:55 It was great what is happening down there in the real economy. Everybody is happy and can have a chat. If you are lucky enough, you have someone you know who will make you laugh all the way through your journey as well. That’s that, that’s that’s one aspect of it. Now, the most important thing that I want, you know, are those of those of you listening to us is to take advantage of this Guardian experience. this year, the 60 year, 60th year of the Garner city. And there’s a lot happening within the Ghana space and therefore be there in November.

Shaun Ferrari 00:10:27 Yeah, be there in November for sure. And you already mentioned a lot of the topics, for, for local local folks and even non-local folks, if you’re, if you’re, involved in the cash industry, please look to attend. for many folks, it’s free to attend. you have to, of course, get there, but it’s free. We are. We have a lot of good sponsors attending as well already, so it’s shaping up to be a great experience. And it covers all aspects of the cash cycle, as you mentioned, digital currency as well, monetary policy and really focuses on the the strength of the CD. And it’s 60 years of of evolution to where it is now and where it’s going in the future.

Bernard Otabil 00:11:05 Exactly what it is. And please is free to attend, but make sure you register. You see the numbers for the logistics that we have to put in place, so that you have the best experience that we expect you to have.

Shaun Ferrari 00:11:17 Yeah, exactly.

Bernard Otabil 00:11:18 Thank you.

Shaun Ferrari 00:11:19 Well, cool. Thank you very much for the time. We appreciate it. Great chatting with you. Looking forward to it. All right. Well once again everybody, thank you for listening to the exchange. And we look forward to sharing our view, our views and the views of our next guest the next time you happen to be able to catch us. please like, subscribe, download. But most importantly, listen. and we’re we’re thrilled to bring guests to you every, every week. So looking forward to chatting with you next time. Take care.