By: Nyima Sillah
The rapid depreciation of the Gambian dalasi against the CFA franc has triggered growing concern among local foreign exchange dealers and citizens, as the exchange rate hits a record high of 630.
In an interview with this medium, Abdou Bojang, a concerned citizen and currency exchanger, said the rising CFA is making daily life more difficult, especially for civil servants. “I deal with different foreign currencies, but in recent months, the CFA has risen from 600 to 630, and that’s worrying. The dalasi has lost so much value,” he said.
He emphasized that while vendors in the local market are often blamed for price hikes, they too are affected, as they buy and resell based on the rates available. “We need to be sympathetic and understand each other’s struggles. The dalasi is depreciating fast,” he added.
Veteran businessman Abdoulie Sowe, who has been in the local exchange market since 1995, said dealers have little to no influence over the pricing of foreign currencies. “We in the local market don’t have any power to make decisions. This is not an independent industry. We don’t even have control over the business, let alone decide on the exchange rate,” he explained.
Sowe explained that exchange agents typically earn just D5 profit per transaction, buying at 620 CFA and selling between 625 and 630. He also gave current rates for other major currencies, saying the British pound is trading at D93–94, the euro at D80.50–81, and the US dollar at D70.50–72.
“Whenever the euro rises, the CFA follows, and once the CFA increases, prices of basic commodities go up too,” he added that while the tourist season brings in foreign currencies, this year marks the first time the CFA has soared this high, worsening inflationary pressure.”
Another businessman, who asked to remain anonymous, called on the Central Bank of The Gambia to take firmer control over the foreign exchange market, especially in regulating the CFA, which he said is not adequately stocked in most commercial banks.
“The CFA has never reached this level before. None of the foreign currencies have. Yet there’s no price control. People just follow one another when setting rates. It depends on how you get it, but there should be oversight,” he stressed.
