Trade, Industry, and Agribusiness Minister, Elizabeth Ofosu-Adjare, says the government cannot compel businesses to lower prices, despite a stabilising cedi and a marked decline in inflation, underscoring the limitations of state power in the country’s liberalised market economy.
“The meeting has been fruitful and we have said that the government does not have the power to control prices, but it has the power to negotiate with our stakeholders to ensure traders, manufacturers, and consumers take advantage of opportunities when they happen,” Ofosu-Adjare said following a closed-door meeting with key industry groups.
The meeting, which included the Ghana Union of Traders Association (GUTA), the Association of Ghana Industries (AGI), and the Food and Beverage Association of Ghana (FABAG), comes amid growing public expectation that recent macroeconomic gains, such as the appreciation of the cedi and declining inflation, should translate into lower consumer prices.
While rejecting direct intervention, the minister noted that government-facilitated dialogue is yielding results, with some traders already responding voluntarily to the improved economic backdrop.
“I am happy to inform you that the direct importers have agreed to reduce their prices, some have already started that,” she said. “We have also heard from GUTA and AGI that it is good that the Cedi has stabilised but they need a bit of time for it to reflect in the prices. It will happen gradually.”
Ghana’s currency has seen sustained appreciation in recent weeks, buoyed by strong foreign exchange inflows, improved reserve levels, and easing pressure on inflation. These developments have sparked calls for cost-of-living relief, particularly for traders to reduce prices of items sold on the market.
The minister’s comments suggest that price relief, if any, will be market-led and contingent on sustained macroeconomic stability, indicating a key challenge for the administration as it seeks to translate fiscal and monetary gains into tangible outcomes for consumers.
