Audio By Carbonatix
The Ghana cedi has hit the GH¢16 mark to a dollar on the retail market after weeks of relative stability.
This is how much most forex bureaus are selling the dollar on average.
The new development is a sign that the depreciation pressures are not over.
Financial Analyst, Professor Williams Peprah, in an interview with JoyBusiness, said there was no cause to panic yet as this could be as a result of a weekend bump.
“I don’t think we must panic”, he said expressing optimism the market may correct itself soon.
He expects the local currency to hold steady at GH¢15.90 till November 2024 when the Christmas festivities approach.
The new milestone also comes at a time the International Monetary Fund has lifted restrictions on dollar auctions by the Bank of Ghana after strong reserve build-up under a US$3 billion economic recovery programme.
Analysts expect this lifting of restrictions to further strengthen the cedi.
Cedi Half-Year Performance
The Ghana cedi depreciated by about 19.6% to the US dollar on the interbank forex market as of July 2024, the Bank of Ghana announced in its July 2024 Summary of Financial and Economic Data.
This was lower than the about 21% loss in value to the American greenback on the retail market.
According to the data, the Cedi lost 7.7% in value to the dollar in March 2024 and depreciated by 10.5% against the dollar in April 2024. It again 15.9% and 18.6% in value to the world’s most important currency in June 2024 and July 2024.
Whilst it is going for GH¢15.60 on average against the dollar on the retail market, the Bank of Ghana is quoting one dollar as GH¢14.78.
Against the pound, the cedi has so far depreciated by 20.8%. It is trading at GH¢19.10 as of July 2024.
It has also lost 18.4% in value to the euro. It was selling at GH¢16.09 as of July 2024.
Cedi stabilised against the dollar
The cedi extended its rally against the US dollar two weeks ago, amidst rising corporate demand.
The market continued to cling to a potential rate cut by the US Federal Reserve soon, contributing to the weakening American greenback.
Latest Stories
-
Zambians voting as president bids for second term
54 seconds -
Ghana at the threshold of a new financial era: What non-interest banking could mean for the economy
1 minute -
NHIA begins 50% NHIS tariff increase, introduces digital claims verification
2 minutes -
NHIA launches ‘80 Campaign’ to increase active NHIS membership to 80%
3 minutes -
Kojo Antwi presents memoir to Otumfuo, promises to launch next album at Manhyia
6 minutes -
Abdul Hayi Moomen Writes: You cannot betray the prophet by betraying his example
12 minutes -
Three men will be executed on the same day as death penalties rise in US
18 minutes -
The vulture of silence – Kurom Ayɛ Dinn – Occasional Kwatriot Kwesi Yankah writes
20 minutes -
South Korea’s Incheon airport beats Heathrow to become world’s busiest
22 minutes -
Is Agenda 111 being privatised? RTI request seeks details of ‘secret deals’ with private entities
29 minutes -
AGI raises alarm over 40% electricity tariff hikes facing businesses
29 minutes -
Tipper drivers’ indiscipline becoming a danger to road users – Association
30 minutes -
Evelyn Naa-Otua Addo
32 minutes -
NMC warns political parties against foreign information manipulation and interference
34 minutes -
GNFS yet to determine cause of Ofankor crash that killed 11
36 minutes