The Ghana cedi held firm to the US dollar and other major foreign currencies last week, but could face renewed dollar upside risks going forward.

The local currency closed at a midrate of GH¢10.43 per US dollar on the interbank market, marking a 1.05% depreciation over the past two weeks. It is selling at GH¢10.45.

In the retail market, the cedi posted a modest recovery, strengthening to GH¢11.90 from GH¢12.30, a gain of 3.36%.

The pound and euro also appreciated to 15.95 and 13.75, reflecting respective gains of 5.64% and 5.82%.

“We believe improved FX [forex] support by the Bank of Ghana and robust reserves largely contained demand expectations, contributing to a stable cedi run over the past two weeks. However, in the coming weeks, we foresee the cedi facing modest pressure as expectations of further delays in Fed rate cuts support a stronger dollar”, said Databank Research.

It added that import activities would pick up, fuelling demand for foreign currency in the near term, with market expectations and the pace of central bank forex interventions playing a key role in containing volatility.

Meanwhile, the cedi began this week losing a slight value to trade at GH¢12.00 to one American greenback.

The year-to-date gain stands at 29.38%.

Meanwhile, the cedi closed June 2025 at GH¢10.35 to one dollar on the interbank market (-0.9% month-on-month) after a sharp correction-driven rally in the prior two months.

Amidst a surge in forex demand from offshore investors, corporates, and local banks adjusting to the new currency-matched Cash Reserves Ratio rules, the Bank of Ghana increased forex supply by 84.4% month-on-month to US$1.7 billion to anchor the US dollar Ghana cedi.

“While we believe the near-term outlook remains stable, the wide spread between the interbank and forex bureau rates suggests tighter supply in the retail market, distorting pricing”, IC Research said.