Audio By Carbonatix
Governor of the Bank of Ghana (BoG), Dr Abdul Nashiru Issahaku is asking businesses not to panic over the current challenges facing the cedi.
The local currency over the past three weeks has witnessed some consistent decline in value with the cedi which has traded at around GHC3.90 for a long time finally crossing the GHC4 mark last month.
It is likely to be sold at around GHC4.30 at a Forex Bureau and GHC4.20 by a commercial bank currently.
The Central Bank is putting the cedi's depreciation from January to November at around 4.6 percent.
However, some banks and research firms, think that the cedi has gone down by over 5 percent when it comes to depreciation although the development has re-ignited concerns that the cedi’s depreciation could worsen, in the coming weeks.
But the Governor, Dr. Abdul Nashiru Issahaku tells JOYBUSINESS, “there is no need for this panic that we are experiencing right now, because these is no basis for it, because we have sufficient forex.
"We are ready to intervene as necessary to moderate the volatilities in the market”, adding that they have enough dollars to stabilize the Ghana cedis."
The Bank of Ghana on November 29 increased the amount of dollars it was selling to commercial banks from $20 to $40 million.
Sources say the decision was influenced by concerns from some banks that they need more dollars than the Central Bank was initially planning to auction to commercial banks.
This might increase the proposed $60 million that the Bank of Ghana was planning to sell over the next four weeks.
In a related development, BoG says it expects the cedi to firmly stabilize against dollar after the December 7 elections.
Sources close to the Central Bank say the pressure on the cedi has been fuelled by uncertainties surrounding the general elections.
The source adds that with the recent policy measures being introduction the cedi marginal depreciation should normalise from next week.
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