Sierra Leone Business: Finance Minister talks on common currency to avoid depreciation

The Minister of Finance Jacob Jusu Saffa has said that the exchange rate fluctuation undermines everything despite all the gains in fiscal reforms. “Even the revenue gains from the oil price liberalization are undermined by the exchange rate.” He went further to say that, worse even is the country’s import credit as the depreciation of the exchange rate also affects it. “For the outsider out there the only measure for economic performance is the exchange rate. So what can we do? Can we do currency swapping as it is being discussed in other African countries” he asked. Speaking at an economic forum, the minister was responding to the question of how can they ensure that the banks comply with existing prudential requirements, strengthening the foreign exchange rate and interbank exchange rate market system. The primary issue regarding the exchange rate that was highlighted is that people walk into the bank and withdraw foreign exchange and change on the street for transactions they are doing locally.

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