Friends,
when I returned from The Gambia in november I wanted to post some of my
observations to the List, but for personal reasons I could not manage to do
so.
The dalasis was one thing I observed. As I frequently post money to The
Gambia for some student I can keep an eye on the exchange rate. August last
year the exchange rate Danish Kr. - Dalasis was 1.55-1.60. When I arrived
The Gambia in october it was 1.90-1.95. Even I know that the danish currency
is one of the strongest in Europe, I thought it was due to the upcoming
presidential election the exchange-rate was so low/high. Outside the market
wanted to see what happens.
Long time ago we had a friend on the Gambia-L, who is now (after returning
back to The Gambia from studies overseas) employed in one of the big
international banks in Banjul, and I always go and say hello to him, when in
The Gambia.
As usual I asked how he is, how is business, how is the Gambia, and he
always give me short information. When I asked about the Dalasis he could
tell me, that they were about to present new projects trying to attract
foreign money and currency to The Gambia.
From home I had the information from danish banking sources that in july and
august the Dalasis (The Gambia) was under a heavy pressure.
One week after election I went back to my bank to exchange my last danish
Kr., just to get the message at the front desk, that I could not exchange.
I asked the person to give my friend a call, because I knew he could maybe
give me an explanation. But I was told that it was from his department the
order was given. There I was, no gambian money, one more week to face, a
week-end coming up, and now I was forced to make the exchange at the Hotel,
or in the streets.
I was so surprised, because it was just 1-2 weeks ahead of the start of the
tourist season, and we has passed the election peacefully and the
international world could see what was in for the future. I even expected
that the exchange rate maybe was lowered. But instead it has increased
since.
When I after my return to Denmark discussed this with one friend, who had
never been to The Gambia and donīt know about the Gambia, but he know
something about economics, his answer was that the problems in The Gambia
could be the tempo in which the president/government want to build the
infrastructure etc. There is not enough "income" to the state to build all
this, and the foreign loans and project-contributions can not keep up with
the money needed. When I think about it, it sounds to me that could be one
explanation.
But what is maybe also interesting in the long run, as my friend told me,
is the "rumours" here in Europe, that we for the first time will see a
pendant to the EU-market formed in Africa, and that will be in West-Africa,
based on the franco-zone. He said, that if this is true, The Gambia will
have to join such a market-zone, and will have to try and adopt the
principles for such a free zone and at the same time get the Dalasis to find
itīs place in that , if and when it has to be connected to that
west-african-franc-zone. (Itīs the same here in EU for the countries which
has joined the new EU-currency, the Euro) If such a free-trade-zone can be
created in west-Africa the rumour says that EU will try and let that zone
have direct access to EU without any trade-hindraces.
I stress that I donīt know anything about economics nor if such rumours are
right, but I think that can give some explanation why the Dalasis decline.
Itīs under pressure from all the state-projects and developments, and maybe
also to find itīs place into the regions franc-zone.
Regards from Asbjørn Nordam
on 16/01/02 13:19, Jassey Conteh at [log in to unmask] wrote:
> Comrade:
>
> It is disturbing that The Gambian dalasis
> cannot maintain its value, relative to the
> U.S. dollar. If this trend continues, Gambians
> will be unable to buy even cheap foreign goods.
> The Gambian Dalasi stands at D16.93 against the
> the US Dollar. The Gambian Dalasi stood at D8.75
> against the US Dollar in January 1993.
>
<<//\\>>//\\<<//\\>>//\\<<//\\>>//\\<<//\\>>//\\<<//\\>>
To view archives of postings, go to the Gambia-L Web interface
at: http://maelstrom.stjohns.edu/archives/gambia-l.html
To contact the List Management, please send an e-mail to:
[log in to unmask]
<<//\\>>//\\<<//\\>>//\\<<//\\>>//\\<<//\\>>//\\<<//\\>>
|
