TRANSPARENCY, ACCOUNTABILITY, PROBITY; Louis Friend Reviews News for Week ending October 3rd

NOTE: Sorry I’ve been away for a while and was unable to complete last week’s reviews. Anyway, since this is a blog, I figured I’ll just give the incomplete work as is for anyone interested. You’ll notice for example that GAMTEL is not discussed in the article as promised in the introduction. So much has happened since this draft making me hold off on completing this piece. I hope to cover the issues in other articles at different times in the future. THIS IS JUST A DRAFT and an idea as to how this writer writes.

This week’s review is mainly focused on what I understand to be the 3 most important concerns facing Gambians. My assumption for their importance is based on discussions I’ve had with Gambians and friends of the Gambia as well as the fact that our newspapers, both print and electronic, have been full of stories about these topics. The three topics are the myths surrounding the Suddenly Appreciating Dalasi against other currencies including the US Dollar, The recent Sale of GAMTEL and Security Concerns stemming from the recent removal of the Singhateh Brothers. Those of us who are old enough to remember 1994 still have constant re echos of transparency, accountability and probity. These jargons, we were promised, would be “the new order of the day”. Hmm, I wonder how the writer of those speeches feels now!!!

DALASI MYTH

http://www.freedomnewspaper.com/Homepage/tabid/36/mid/367/newsid367/2367/PANORAMA-with-Bulfaaleh-Bulfaalehs-meet-The-Gambians-tour-The-dalasis-myth-experts-speak-bad-days-ahead/Default.aspx -

Freedom Newspaper’s “Bulfaaleh” predicts “bad days ahead” due to the appreciating dalasi. According to them, they spoke to about four experts. The problem is that none of the four “experts” made any sensible analysis. They just did what any “non-expert” would/could easily do…blame Jammeh. All they tell us is that commodity prices have not gone down to correspond with the strengthening dalasi as economic principles dictate. (See next link for explanation). Bulfaaleh also continues to threaten to keep revealing Jammeh’s “secrets”.

http://www.gambianow.com/news/Business/Gambia-News-Currency-Market-Still-Volatile.html

A more responsible and better piece of journalism in this article which speaks to Mr Mam Cherno Jallow, CEO of The Gambia Chamber of Commerce. Unlike the one above, this “expert” is identifiable and respectable due to his position and qualification. He clarifies, as common both common sense and basic economics dictate that prices cannot be expected to drop immediately. It will take a bit of time because stocks of goods were bought at the old weaker dalasi prices and they are gradually depleted and replaced with stock bought at the new stronger dalasi. Mr. Jallow also shows touches on who is helped and who is hurt by an appreciating currency.

I expected “experts” to give us explanations as to the causes of the sudden change, how it affects the Gambian economy and people and possible solutions as well as possible predictions.

Both of the above articles failed to adequately answer the questions Gambians are dying to have answered.

http://www.thegambiajournal.com/artman/publish/article_1326.shtml

In this article, The West African Monetary Institute (WAMI), which is trying to introduce a single currency under a monetary union of The Gambia, Ghana, Guinea, Sierra Leone, Nigeria and Liberia, “applauds the Gambia’s economic performance”. According to their study, The Gambia has achieved sustained economic growth since 2003 and that it has met three of the four criteria.

This article also fails to adequately answer the obvious answers the story will raise for readers. For example, what are these criteria? When was this study conducted? What is WAMI’s view on the rapidly appreciating Dalasi?

http://www.thegambiajournal.com/artman/publish/article_1320.shtml Bamba Saho, Central Bank Governor’s explanation. Below is perhaps the best analysis of the dalasi mystery I’ve seen so far.

“In most other countries, such an appreciation in the national currency would be sufficient cause for celebration. The only people who might not join the dance would have been exporters, since a currency appreciation would make their products less competitive in the world market. But what we are seeing in The Gambia today appears to be a different matter all together. Instead of jubilating for the appreciation of our national currency, many of us are left with doubt, skepticism and sometimes disappointment. One thing is that people tend to see that there is too artificial an air around the whole affair. Then there is the fact that the appreciation is not matched with corresponding reduction in prices of basic goods, over seventy-five percent of which are imported. And also, over seas Gambians and their home-based family members appear to be the biggest losers in the currency appreciation. More dollars, euros and pound sterling must now be sent to meet the cost of bills of families and dependants waiting at home, hence the need for an explanation. Why has the price of imported goods gone down with the reverse proportion of the slide of foreign currencies? How sustainable is the appreciation, how long will it last? What if a slump is just round the corner? How strong are the risks posed by volatile international oil prices, fluctuating world groundnut export prices, rising global aggregate demand and their possible “knock on” effect on general prices? As if to demonstrate the suspected artificiality of rise in the strength of the dalasi, consumer price index has been rising to 9.7% under the same period, severely hitting the pockets of the poor and the public in general. Instead of improving the lot of the poor by bringing down prices, the appreciation of the dalasi is spelling harder times for people.”

Dalasi Mystery – I would have loved to see one of our online journalists interview legitimate stakeholders…international economists etc who have an idea what’s going on and won’t be scared to speak their mind, analysts, businesses it affects in Gambia like hotel owners who make deals months in advance, ordinary Gambians receiving remittances from abroad, Gambians sending remittances home etc. time of Hajj, Ramadan and Koriteh. These are all people who are directly affected by the crazy exchange rates and have a lot to say.

NATIONAL SECURITY

http://www.thegambiaecho.com/Homepage/tabid/36/articleType/ArticleView/articleId/785/Default.aspx

Here Sam Sarr talks about how this is the right time to get rid of Jammeh. Mr. Sarr rightly points out how officials have a habit of being economical with information to Gambians. His own book, as pointed out by Professor Saine in other articles, failed to clarify certain questions about his activities during his time with the Jammeh government that Gambians would like to know.

“In my speculative mind therefore, I have many times changed my opinion to where I have narrowed it down to two possibilities.”

As usual, the article ends up straying into another rant about how evil Singhateh is. I have read enough of Mr. Sarr’s articles to know this was not straying by mistake. It is a well planned and executed piece to capture Gambians’ attention while not making his contempt for Singhateh so obvious while at the same time trying to break up Jammeh’s strength and hold on power.

MISCELLANEOUS

http://www.thegambiajournal.com/artman/publish/article_1325.shtml DDT or DEATH

http://www.thepoint.gm/headlines2346.htm - Jones/Ceesay trial

http://www.gambianow.com/news/General/Gambia-News-Prosecution-Given-Ultimatum-in-Ex-KMC-Mayors-Case.html

http://www.thegambiajournal.com/artman/publish/article_1338.shtml Office of the president makes an announcement that Gambians don’t need permission to order Cement. It took you long enough!! I still remember GACEM cement costing 30 dalasis per bag before gaining monopoly and increasing to over 350 dalasis per bag.

http://www.allgambian.net/NewsDetails.aspx?id=58

PK Jarju, who called for a military take over in Gambia is trying to analyze the current state of affairs. PK, Britain did not “slap a travel ban”…it was a “travel advisory”…there’s a huge difference between the two.