In the wake of the BoG Governor’s claim that remittance inflows have plunged by nearly 50% due to the recent surge in the value of the cedi, legal scholar and governance advocate Prof. Stephen Kwaku Asare, widely known as Kwaku Azar, has issued a heartfelt call to action to Ghanaians abroad against the development.
The Professor says diasporans should see beyond the foreign exchange math and respond instead to the unchanging needs of the people they support.
In 2024 alone, Ghana officially recorded US$6.65 billion in remittances. But when informal channels, friends, family, and travelers are factored in, the actual total climbs to a staggering US$11.5 billion.
That amount is nearly half of the country’s total export earnings and more than double the foreign direct investment for the same period.
Yet, with the cedi gaining over 40% against the dollar, 31% against the pound, and 24% against the euro, many members of the diaspora are now hesitating in remitting money to their friends and families.
The logic is simple. As economists explain that fewer cedis per dollar means less value for their families back home, so why not wait for the cedi to lose ground?
But Prof. Asare challenges that mindset, making it clear that this is not the time to hold back.
He explains that this is precisely the moment when remittances matter most. He notes that the cedi’s strength reflects fragile economic progress seen in the falling inflation, improving reserves, and rising investor confidence.
However, the progress must be sustained, and the remittances are critical in helping to do just that. For him, remittances don’t just help families, they help the entire nation.
They fund school fees, pay medical bills, support housing and small businesses, and pump liquidity directly into the economy without passing through red tape or political filters. They stabilize foreign exchange, ease balance of payments, and create buffers against external shocks.
Prof. Asare also draws attention to the broader constitutional and policy relevance of remittances, noting DUCRIPS’ ongoing advocacy for the Diaspora Citizenship Amendment Bill, which seeks to deepen the role of diaspora Ghanaians in national development.
“This progress is fragile. It must be sustained, and remittances help do just that. They fuel local demand, stabilize foreign exchange reserves, and ease balance of payment pressures. A sudden 50% drop in inflows, as we’ve seen, risks undermining the very recovery we all want to see. Let’s be clear: remitting is not just a personal gesture. It is an act of economic citizenship,” he indicated.
He continued, “When the cedi weakens, the diaspora sends money to help. When it strengthens, they must send to sustain it. This is not about maximizing exchange rate gains. It is about multiplying national impact. And if cement prices haven’t dropped despite falling inflation, if iron rods and roofing sheets still cost the same, then the reason to remit hasn’t changed. The needs remain. The nation still calls.
“The exchange rate may fluctuate, but our responsibility should not. So yes, the cedi is flexing. But so should our commitment. Fellow Diasporas, Remittances Matter! Don’t let the surging cedi break your sending spirit. Remit today, for God and Country,” he appealed.
As Ghana navigates a delicate path toward recovery, strengthening its currency, attracting investments, and calming inflationary pressures, Prof. Azar says remittances remain a key pillar of national resilience.
Without strong inflows from the diaspora, the sustainability of recent macroeconomic gains could be at risk.
