[GUEST ACCESS MODE: Data is scrambled or limited to provide examples. Make requests using your API key to unlock full data. Check https://lunarcrush.ai/auth for authentication information.]  Scott [@scottbolshevik](/creator/twitter/scottbolshevik) on x 34.1K followers Created: 2025-07-17 09:14:23 UTC How China Manages Its Currency Artificially China gets a large trade surplus each year around $XXX billion because of its strong manufacturing and exports. Normally, when a country has a big surplus, demand for its currency goes up, making the currency stronger. This is why people say Ghana must boost manufacturing and exports to strengthen the cedi. But when your currency gets too strong, it can hurt your manufacturing sector because production costs, including wages, rise in foreign currency terms. This makes exports more expensive, so fewer people buy your goods. In normal economics, this balances the trade surplus naturally. However, China manages its currency to stop it from rising too much. It does this by using its central bank to buy foreign currencies (like the U.S. dollar) and hold large foreign reserves. This keeps the yuan weaker than it would naturally be, so Chinese exports stay cheap and competitive. This is why the U.S. often accuses China of currency manipulation. Ghana does not do this. Ghana usually runs trade deficits and does not have enough foreign reserves to manage the cedi’s value the same way China manages the yuan.  XXXXX engagements  **Related Topics** [ghana](/topic/ghana) [government spending](/topic/government-spending) [currency](/topic/currency) [china](/topic/china) [Post Link](https://x.com/scottbolshevik/status/1945774070488051775)
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Scott @scottbolshevik on x 34.1K followers
Created: 2025-07-17 09:14:23 UTC
How China Manages Its Currency Artificially
China gets a large trade surplus each year around $XXX billion because of its strong manufacturing and exports. Normally, when a country has a big surplus, demand for its currency goes up, making the currency stronger. This is why people say Ghana must boost manufacturing and exports to strengthen the cedi.
But when your currency gets too strong, it can hurt your manufacturing sector because production costs, including wages, rise in foreign currency terms. This makes exports more expensive, so fewer people buy your goods. In normal economics, this balances the trade surplus naturally.
However, China manages its currency to stop it from rising too much. It does this by using its central bank to buy foreign currencies (like the U.S. dollar) and hold large foreign reserves. This keeps the yuan weaker than it would naturally be, so Chinese exports stay cheap and competitive. This is why the U.S. often accuses China of currency manipulation.
Ghana does not do this. Ghana usually runs trade deficits and does not have enough foreign reserves to manage the cedi’s value the same way China manages the yuan.
XXXXX engagements
Related Topics ghana government spending currency china