The Chief Executive Officer of the Chamber of Oil and Marketing Companies (COMAC), Dr. Riverson Oppong, has clarified that fluctuations in the cedi-to-dollar exchange rate do not directly translate into corresponding changes in fuel prices at the pump.
Speaking on TV3’s Business Focus on Monday, September 27, 2025, Dr. Oppong explained that although there is a correlation between the exchange rate and fuel prices, the relationship is not a one-to-one equation.
The CEO added that “Even though there is a direct correlation between the cedi rating and the pump price, it’s not exactly that when the cedi is 10, fuel price at the pump should be 10, and when the cedi is 11, fuel price at the pump is 11.”
He further explained that fuel pricing is influenced by multiple components, not just the exchange rate.
Dr. Oppong emphasised that “in economics, every level of a component matters. You can’t assume that the whole 10 percent has an influence on the total value of the product. I keep saying it’s just about 70 percent, and there’s also the Bulk Distribution Companies (BDC) margin in there, which is also fixed in cedis.”
Meanwhile, Fuel prices in Ghana are typically reviewed and are influenced by several factors, including international crude oil prices, the cedi-dollar exchange rate, taxes, and margins by industry players. Depreciation of the cedi against the dollar sparks public concern about potential hikes in pump prices, prompting calls for clarity from industry experts.
