Audio By Carbonatix
The Ghana cedi slowdown its deprecation against the dollar last week, as the local currency lost only 1.28% on the retail market.
The cedi also lost 2.60% in value to the pound, while it weakened 2.01% to the euro.
This is coming after the Bank of Ghana provided approximately $14.5 million in spot market support, while allocating $20 million to Bulk Oil Distributing Companies, but this support was insufficient to alleviate demand pressures for the greenback.
Analysts are, however, anticipating a mixed performance of the cedi against the major foreign currencies this week.
With the International Monetary Fund programme taking shape, it is expected that demand for the local currency will ease.
The cedi came under severe pressure two weeks ago losing nearly 9.0% in value in the retail market.
However, this has slowed down, keeping the year-to-date loss at a little above 12% to the American greenback. But on the interbank market, the cedi has depreciated by about 20%.
The World Bank Country Director to Ghana, Pierre Laporte, last week indicated that the Bretton Wood institution would likely disburse $300 million to Ghana in September 2023 as the first tranche of the about $1.1 billion budget deficit assistance under the International Monetary Programme.
This many market watchers and experts believe will help reduce the expected pressure on the cedi.
Ghana in December 2022 suspended payments of external loans to help restructure its debt, a move that significantly reduce foreign outflows.
Latest Stories
-
Trump threatens to target Iran’s bridges and power plants if Hormuz attacks persist
3 minutes -
Ghana not yet in digital trust crisis, but warning signs are emerging – Kwami Tamakloe
7 minutes -
Digital trust crisis looming if fraud concerns are ignored – John Awuah warns
8 minutes -
Mamdani backs off pledge to arrest Netanyahu citing lack of authority
15 minutes -
Banks’ NPLs drop to 16.1%, but credit risk remains key vulnerability
15 minutes -
Business, consumer confidence positive – BoG
27 minutes -
We don’t have a trust crisis – BoG urges vigilance against rising digital fraud
34 minutes -
GIPC now an authority
40 minutes -
Mahama urges African leaders to turn health pledges into concrete investments
50 minutes -
NPP Greater Accra Regional Organiser hopeful touts experience, grassroots mobilisation record
1 hour -
WHO warns Africa risks losing decades of health gains as external funding declines
1 hour -
Chief of Staff plants shea tree at Jubilee House to reaffirm government’s commitment to shea industry development
2 hours -
GCB Bank unlocks new pathway to credit with Tier 3 pension-backed loan
2 hours -
Mid-Year Budget: ‘MoU is not a payslip’ – Oppong Nkrumah questions gov’t jobs, economic claims
2 hours -
Prof Mills was ethical; some appointees exploited his weakness as his health declined – Prof Frimpong-Boateng
2 hours