The resurgence of the Ghana cedi continues as the cedi gained more value this morning, December 16, 2022 to sell at ¢9.7 to the US dollar on average.

According to forex rates sighted by Joy Business in the retail market, the local currency also improved in value against the euro and the pound sterling.

It is going for ¢9.9 to the euro and ¢11.8 to the pound.

The past two weeks have seen the local currency gaining about 35% value to the US dollar, narrowing its year-to-date depreciation to about 20%. Undoubtedly, the cedi's performance will rank it as the best currency in the world that has recovered swiftly from its woes.

Many analysts have, however, cautioned that the cedi’s recent extraordinary performance may not be fundamentally supported.

Rather, this is purely due to the staff-level agreement reached between the International Monetary Fund and the Government of Ghana.

In this regard, the government must ensure an IMF programme is concluded by the first quarter of 2023 to sustain the performance of the cedi, which has been triggered by investor sentiments ergarding the outlook of the Ghanaian economy.

Fitch predicts a stronger cedi in 2023.

International institution, Fitch, has already forecasted a stronger cedi against the dollar in 2023.

According to its latest analysis of Ghana’s 2023 Economic Outlook, it said the likely programme from the International Monetary Fund (IMF) signals to investors that the government is committed to fiscal consolidation that will turn around the country’s economic predicament.

Senior Country Risk Analyst at Fitch Solutions, Mark Kruninger said the announcement of the staff-level agreement by the IMF has helped to improve the value of the cedi.