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jambo
3300 Posts |
 Posted - 26 Sep 2007 : 10:06:15
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i took this from another posting
As for the currency market this reporter discovered that some banks are not buying foreign currencies such as the dollar, pound sterling, euro and CFA francs. Some bought these currencies only from account holders.
can anyone shed light on this. how is it affecting the tourists who arrive in Gambia. i normally just hand over £ and $ to my guides, driver etc, but would worry if they could not change it for me, or for themselves.
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kayjatta
2978 Posts |
Posted - 26 Sep 2007 : 10:23:35
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| The currency market in the Gambia is in a turbulence. There is speculation and so much uncertainty in the market. Businesses have to be cautious because the dalasi appears to be gaining in value while the major foreign currencies namely the dollar, pound sterling, etc are losing in value rapidly. Therefore, if you buy the dollar or the pound today for 19 dalasi , tomorrow its value may be only 16 dalasi, so you are losing money. Likewise, if you travel from U.K or U.S.to the Gambia today with your dollar or pound you gonna have less in exchange for it. Therefore, holders of foreign currencies are likely to avoid the Gambia for now ; also businesses such as banks may be unwilling to buy the dollar or pound because of its depreciationg value. All of these can add up to depress imports, thereby resulting in scarcity of goods in the country.This is a troubling time for the Gambia... |
Edited by - kayjatta on 26 Sep 2007 10:24:10 |
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jambo
3300 Posts |
Posted - 26 Sep 2007 : 10:35:49
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| thank you for that explanation, |
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Alhassan
Sweden
813 Posts |
Posted - 26 Sep 2007 : 12:58:13
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kayjatta,
Gambians and friends of Gambia do not look at the exchange rate. My family and I send money through Gambians and we have no complains. I do save through my bank here to Gambia but I think Gambia is entiatled to the foreign exchange they get from me. I am not so particular about how much. It seems as if most of the worlds currencies are falling too. In the us there is a housing economics problems and the usd has dropped. Infact the dolar has dropped to the rates of ten years ago towards the Swedish kronor.
I hope the Dalasi too gets benefits. I think the black market in the Gambia is the biggest problem. There you can see money exchanges everywere and they recognise you and ask if you want change. This is what Gambia has to stop. Do you have the same in the US? |
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jambo
3300 Posts |
Posted - 26 Sep 2007 : 13:36:11
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alhassan, you can say do not look at the exchange rate, but this is a guide line that most industries look for.
look at the knock on effect if you do not look, anyone can make up figures, anyone can give intrest rate.
i absolutely agree that the black marketeers are to blame, but people in the financial positions need to get a grip on the situation in Gambia, we oustide are sheltered but if the exchange rate is measuring tool for investors, Gambia will struggle.
All infrastructure in Gambia is linked to foreign money, buying land, house, paying school fees you name it it is affected the rate of exchange. in may i got 50 dls to £1.00, now it is 38 dls to £1.00 this affects my spending power in Gambia.
Very basic, but you get my point. |
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toubab1020
12311 Posts |
Posted - 26 Sep 2007 : 16:32:28
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A conference for everything can be held in The Gambia,this one may be useful,to try and stop bad things that are happening in our world now.
http://allafrica.com/stories/200709260631.html
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"Simple is good" & I strongly dislike politics. You cannot defend the indefensible.
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kayjatta
2978 Posts |
Posted - 27 Sep 2007 : 09:08:51
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| It is very dumb not to watch where your money is going, Alhassan. If you are living abroad and support families back in the Gambia, you cannot help being concerned about the exchange rate. This fact is the crux of Turks ranting against Westeen Union. The exchange rate is everything to the living standard of our families in the Gambia. It determines how much they receive and how much you have to send . It is a shame that a country like ours have economies that depend largely on remittances . Now that the dalasi is being artificially slided up against the major international currencies , you and I are gonna be milked dry . But I suspect remittances to the Gambia will fall, and there will be a balancing effect resulting in the dalasi settling in its natural place... |
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Alhassan
Sweden
813 Posts |
Posted - 27 Sep 2007 : 11:22:38
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kayjatta,
How much do you want the dalasi to be changed? It cannot be as low as it has been for the past two years. nowadays we are back to the equavelant of the late 80s. Indeed the Dalasi is not dependant on the Gambins abroad. Then it would dropp as the lowest currency in the world. If you think Gambians are having Millions of money in the diaspora you are joking.
Look Senegal CFA even has lost value and Senegal has more foriegn exchange than Gambia. Senegal exports more into the EU and US than Gambia. How come then Gambia should have a better exchange rate than Senegal? I do not belive in what some of you post here that Gambia is depandant on the remittances sent by us from here. Furthermore If my family does not receive anything I have to claim and get back my money from the bank or who so ever sent it. Do you know where your money is going? Mine is going to my family. |
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toubab1020
12311 Posts |
Posted - 27 Sep 2007 : 11:39:53
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| Alhassan,the core of this topic is surely that Gambians working abroad and sending money back home to support their families are now being sucked dry by having to pay more for their families to recieve the same amount of money that has been sent in the past,meaning that Gambians abroad are suffering more now just like our brothers back home,the value of the Dalasi now against foreign curriencies is just not realistic,someone is inteferring with the market in money,why? for what reason,do you have any ideas yourself? We know that Gambians in the diaspora do not have "Millions of money" but that is the thought that Gambians living in Gambia have,because they have not travelled. |
"Simple is good" & I strongly dislike politics. You cannot defend the indefensible.
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Edited by - toubab1020 on 27 Sep 2007 11:41:08 |
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Alhassan
Sweden
813 Posts |
Posted - 27 Sep 2007 : 12:08:44
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toubab1020,
Do you expect the Dalasi to drop all the time against other currencies? The Dalasi too sometimes must get strong. You seem not to understand. In the 80s or even 90s the exchange rate of the dalasi was as it has been. If you suspect that someone is interfering with the money why not ask those responsible for the Dalasi. For some years ago the Swedish Kronor loosed value because of the currency speculator George Sorros. The Swedish state has more resources than Gambia , but could do nothing about it. If the Dalasi is speculated it could happen too. I have not complained about the exchange rate but some of your friends have if not yourself. Those of you having different notions should find out what has realy happened. My family members are still in the Gambia but they know that I have no millions although I go for TOBASKI every year and send them money at the end of the month.
I hope the Dalasi gains more strength towards other currencies. |
Edited by - Alhassan on 27 Sep 2007 12:12:34 |
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kayjatta
2978 Posts |
Posted - 27 Sep 2007 : 12:16:37
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| Thanks Toubab , but you know Alhassan needs to understand that we all want the dalasi to be strong and increase in value. But a true increase in value of the currency (dalasi) must be accompanied by improvement in the economy (such as the living standard of the people). That means the buying power of the Gambians , as well as employment , and the availability of goods and services must all improve. That is what true appreciation of the currency (dalasi) should create.If that happens , then the economy and our families back home will be less dependent on remittances. But look at what is happening in the country; unemployment has not changed, the buying power of the Gambian worker ( and non worker) is diminishing and a massive scarcity of goods and services is looming... |
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toubab1020
12311 Posts |
Posted - 27 Sep 2007 : 12:43:45
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| Kay,I agree,I also agree with Alhassan that the 80's and 90's were better not only in money terms but in quality of life.............ahaaaaaaaa......... things move forward and don't stand still. |
"Simple is good" & I strongly dislike politics. You cannot defend the indefensible.
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kayjatta
2978 Posts |
Posted - 27 Sep 2007 : 12:54:00
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| That is very true. In 2000 the dollar was only ten dalasi and $50 could do a lot of things back then. Now you cannot do anything with $50 in the Gambia. Inflation ! The government needs to develop export-based production and create jobs . That is the realistic way of building a sold economy. |
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