The Exchange rate:

If the exchange rate index is an important determinant, or measurement of the Gambian economy, it is fair to say that things are beginning to show signs of economic upswing. But, is that the case? Or should I maybe ask the folks at Sara Ngai or Kerr Alpha. For us living in the Diaspora, specifically in the US, we are beginning to feel the falling of the dollar in relations to the dalasi, the dollars send to our folks generate fewer Dalasis, and unfortunately living them poorer. The $300 monthly allowance to my folks, this time last year was approx D9, 000.00; right now they are lucky to get D7, 000.00.  The other reality - the economic basket – rice, oil, tomatoes, meat, fuel and cement went up in years past because of the value of the dollar in relations to the dalasi. Understandable, Business men had to buy the dollars to import these goods to the local market. Now, of course is costing them less to purchase the dollars for similar orders, but prices are not being reflected as th
ey were in years past. Hmn, what do we have here? What is the role of a serious government in a given situation? Do we want a government to step in with price controls, obviously that will make the Milton Freidman’s of the world to reecho to us the danger of government getting involve in a free market economy. As I ponder into such a frustrating situation, is it wacky for a government to get in and become a competitor by importing such goods and services and price them according to the exchange index with the added profit margin. Clearly,   such a move can force businesses in the Gambia to move prices up and down base on this realistic index,  that is if they want stay in business. Or should Government jsut stay away and allow the market to correct itself on its own pace.
I wonder want my brother Hamza, the grand wizard of Cambridge think of this problem?

Musa JEng

¤¤¤¤¤¤¤¤¤¤¤¤¤¤¤¤¤¤¤¤¤¤¤¤¤¤¤¤¤¤¤¤¤¤¤¤¤¤¤¤¤¤¤¤¤¤¤¤¤¤¤¤¤¤¤¤¤¤
To unsubscribe/subscribe or view archives of postings, go to the Gambia-L Web interface
at: http://listserv.icors.org/archives/gambia-l.html

To Search in the Gambia-L archives, go to: http://listserv.icors.org/SCRIPTS/WA-ICORS.EXE?S1=gambia-l
To contact the List Management, please send an e-mail to:
[log in to unmask]
¤¤¤¤¤¤¤¤¤¤¤¤¤¤¤¤¤¤¤¤¤¤¤¤¤¤¤¤¤¤¤¤¤¤¤¤¤¤¤¤¤¤¤¤¤¤¤¤¤¤¤¤¤¤¤¤¤¤