By: Emmanuel Amoah
The Ghanaian cedi largely maintained its stability throughout most of last week, supported by a $10 million injection from the Bank of Ghana into the spot market.
However, towards the end of the week, sustained demand pressures from corporations slightly weakened the local currency. As a result, the cedi depreciated by a marginal 0.47% week-on-week against the US dollar, closing the week at GH¢15.95/$ in the retail market.
The cedi also saw declines of 0.25% against the British pound and 1.31% against the euro over the same period in the retail market. Currently, the cedi is trading at GH¢15.87 per US dollar in the retail market. Since January 1, 2024, it has depreciated by 23.11% against the US dollar.
Looking ahead, the Central Bank plans to sell $20 million to Bulk Oil Distributing Companies during this week’s forward forex auction. Analysts anticipate that this auction could help alleviate some of the corporate demand pressures on the market and potentially slow the cedi’s depreciation.
