50502 The Gambia
The soaring food prices and high cost of energy has put the Gambia’s inflation outlook at the risk despite the Dalasis stability and growth in Agriculture, Central bank Governor said in a recently tightly-held press briefing at the bank’s conference hall in Banjul.
Governor Bamba Saho said The Gambia’s headline inflation is forecast to be in the range of 3.5 to 4.0 percent by end of the first quarter of 2010, adding that the end period inflation declined to 2.5 percent in September from 5.4 percent in June last year (2009), but rose to 2.7 and 3.6 percent in December 2009 and January 2010 respectively.
He said similarly, food and non-food consumers price inflation increased to 4.4 percent and 2.5 percent in January 2010 from 2.7 percent and 1,9 percent in September 2009 respectively. And though findings on business sentiment survey shows boost in economic and business activity in the fourth quarter of 2009, and prospect for the first quarter of 2010 are favorable, majority of respondents anticipate higher inflation rate during the first quarter of 2010, he said.
However, annual average inflation fell to 4.3 percent in January 2010 compared to 5.6 percent in September last year. He said the real Gross Domestic Product (GDP) is likely to remain strong because of the expected partial recovery in tourism and remittances and robust growth in agricultural production.
“Volumes of transaction in the domestic foreign exchange market remained virtually unchanged at US$1.54 billion in January 2010 from a year earlier”, he added. Saho said I January the Dalasi appreciated against major currencies (UK Pound Sterling by 0.02 % and Euro 2.12 %, compared to last year when it depreciated against Pound Sterling by 7.2%, The USA Dollars 9.8%, CFA 11.2% and Euro11.8%.
Banks` overall condition he said was satisfactory and all banks observed the minimum requirements. The total asset of the banking industry increased to 14.8 million in 2009 and the average risk-weighted capital adequacy ratio was 18% at end December 2009, compared to 33.22 percent in September 2009, he revealed.
“Credit to distributive trade, agriculture, building, construction and manufacturing increased by 22.7%, 86.9%, 1.7 % and 104.9 % respectively” he said. Similarly loans and advances to the fishing, tourism and transportation increased by 6.7%, 7.3% and 8.2% respective during the same period.
The soaring food prices and high cost of energy has put the Gambia’s inflation outlook at the risk despite the Dalasis stability and growth in Agriculture, Central bank Governor said in a recently tightly-held press briefing at the bank’s conference hall in Banjul.
Governor Bamba Saho said The Gambia’s headline inflation is forecast to be in the range of 3.5 to 4.0 percent by end of the first quarter of 2010, adding that the end period inflation declined to 2.5 percent in September from 5.4 percent in June last year (2009), but rose to 2.7 and 3.6 percent in December 2009 and January 2010 respectively.
He said similarly, food and non-food consumers price inflation increased to 4.4 percent and 2.5 percent in January 2010 from 2.7 percent and 1,9 percent in September 2009 respectively. And though findings on business sentiment survey shows boost in economic and business activity in the fourth quarter of 2009, and prospect for the first quarter of 2010 are favorable, majority of respondents anticipate higher inflation rate during the first quarter of 2010, he said.
However, annual average inflation fell to 4.3 percent in January 2010 compared to 5.6 percent in September last year. He said the real Gross Domestic Product (GDP) is likely to remain strong because of the expected partial recovery in tourism and remittances and robust growth in agricultural production.
“Volumes of transaction in the domestic foreign exchange market remained virtually unchanged at US$1.54 billion in January 2010 from a year earlier”, he added. Saho said I January the Dalasi appreciated against major currencies (UK Pound Sterling by 0.02 % and Euro 2.12 %, compared to last year when it depreciated against Pound Sterling by 7.2%, The USA Dollars 9.8%, CFA 11.2% and Euro11.8%.
Banks` overall condition he said was satisfactory and all banks observed the minimum requirements. The total asset of the banking industry increased to 14.8 million in 2009 and the average risk-weighted capital adequacy ratio was 18% at end December 2009, compared to 33.22 percent in September 2009, he revealed.
“Credit to distributive trade, agriculture, building, construction and manufacturing increased by 22.7%, 86.9%, 1.7 % and 104.9 % respectively” he said. Similarly loans and advances to the fishing, tourism and transportation increased by 6.7%, 7.3% and 8.2% respective during the same period.
