The drop in global oil prices will positively impact the local economy at a time when it is under pressure from the Coronavirus pandemic, analysts have said.
The prevailing suppressed prices of oil on the global market are helping the recovery of the National Petroleum Fund (NPF), which is currently at P265 million.
Kgori Capital investment analyst, Kwabena Antwi said the drop in the oil prices globally will reduce the import bill and most likely lead to a drop in local pump prices.
"It is a welcome move as exports are also currently under pressure. It will also keep inflation low," he said.
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According to Antwa, consumers will spend less on fuel, which will mean they have more money to spend elsewhere. This will positively affect other industries and aggregate demand in general.
He however said the situation warrants close monitoring for the next few weeks and even months, in the context of the changing global environment brought about by the pandemic.