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NPS reminisces about the past

The National Party Suriname (NPS) recently reminisced about the past as it mentioned the fact that 20 years ago one American dollar only cost SRD 2.80 when ...

Times of Suriname

Suriname was run by the ad-ministration of President Ronald Venetiaan. The current chairman of the NPS,  Gregory Rusland, made it clear that it is a clear example of the then economic situation and that youths could easily afford to buy a house and a car back then. The NPS keeps mentioning the old days and in particular the low exchange rate as a political strategy aimed at winning the upcoming elections. But there are no guarantees that the price of one US dollar which is currently higher than SRD 35 will actually back to SRD 2.80.  The current challenges including the inflation and the fluctuations on the foreign currency market demand structural reforms instead of nostalgic comparisons. Chairman Rusland pointed out that  items had a strong purchasing power when the NPS ran the country and the coalition from 2000 until 2010. “Back then youths could afford to buy so much more with a salary of SRD 1,700 and they could also go on a trip abroad at least once a year,” said Rusland. While  the NPS refers to a two decades ago when the exchange rates were favourable, one must also keep in mind that the macroeconomic circumstances were a lot different back then. The Central Bank of Suriname  (CBvS) had a strong grip on the exchange rate and artificially kept it at SRD 2.80 through its interventions. Economists pointed out that the world economy has changed drastically in the past 20 years and that countries that do not easy their grip on the exchange rate often face financial problems.

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NPS reminisces about the past