The Ghana cedi is inching closer to GH¢13.00 to one US dollar barely two months into 2024 as the depreciation of the local currency continues unabated.

Checks by Joy Business at some forex bureaus indicate that the local currency is being sold for GH¢12.98 to one American greenback.

The year-to-date depreciation of the local unit also stands at a little over 5% after losing about 20 pesewas in the last two days of this week.

The cedi began this week going for GH¢12.85 but has since lost 13 pesewas to the dollar. The Bank of Ghana is quoting one dollar to GH¢12.39.

The local unit weakened 1.37% week-on-week to the American greenback last week, as a result of immense corporate demand and cedi-funded foreign exchange pressure.

Despite the Central Bank selling $18.5 million on the spot market, it could not keep the cedi afloat as it weakened to close at a mid-rate of GH¢12.75 to the dollar.

Similarly, the cedi shed 1.10% and 1.47% to the pound and the euro, respectively, on the retail market.

It is presently selling at GH¢16.20 and GH¢13.90 to the pound and the euro respectively on the retail market.

Some research institutions had earlier projected a mid-US dollar Ghana cedi rate at 13.10/US$1 (-8.4% annual loss) with improving fundamentals, expected external inflows, and appropriate monetary policy stance partly offsetting election-related and external debt restructuring uncertainties.