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24 July 2014

Ghana Trades Union Congress (TUC) demonstrates Today.

More than 5,000 members of the Trades Union Congress will march in Ghana’s largest cities today, including the capital, Accra, TUC Secretary-General Kofi Asamoah said yesterday. The union represents 18 national unions with workers ranging from miners to healthcare workers and maritime personnel. 

“People are angry and complaining because petroleum products and utilities prices have been increased significantly without a corresponding increase in wages and salaries,” Asamoah said. “The government has a responsibility to ensure that there are mitigating measures to help cushion the poor and vulnerable.”

The government this month lowered its 2014 economic growth forecast to 7.1 percent, from an earlier estimate of 8 percent, as power shortages, inflation and the weakening currency constrain the economy. Consumer price growth rose at the fastest pace in four years to 15 percent in June. 

Ghana has raised gasoline and diesel prices 22 percent since January after reducing subsidies on electricity and water last year to help narrow a budget gap that was above 10 percent of gross domestic product. This year’s fiscal deficit will probably remain above 10 percent for a third year, according to Moody’s Investors Service and Fitch Ratings. 

The cedi has weakened more than 30 percent against the dollar this year, the worst among African currencies. The currency traded at 3.41 per dollar by 3:50 p.m. yesterday in Accra.


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