Cedi Crosses GH¢11 to US Dollar After Past Few Weeks Of Depreciation
- The Ghana cedi has depreciated to hit GH¢11 to the US dollar, according to commercial bank quotes
- The Bank of Ghana’s official rate pegged the dollar at GH¢10.90, while forex bureaus are selling around GH¢12.20
- Commercial banks attributed the depreciation to pressure to the limited dollar supply from the Bank of Ghana
The Ghana cedi has crossed GH¢11 to the US dollar, according to commercial bank quotes.
Joy News reported that some banks are selling the dollar as high as GH¢11.30.
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The Bank of Ghana’s official rate pegged the dollar at GH¢10.90, while forex bureaus are selling around GH¢12.20.
Despite the depreciation, a Databank Research report noted that the cedi is still Africa’s best-performing currency against the dollar, appreciating about 36% year-to-date, though this is down from over 40% earlier in August.
Bloomberg previously named the cedi the world’s best-performing currency.
Commercial banks attribute the pressure to the limited dollar supply from the Bank of Ghana alongside strong demand. Businesses are seeking dollars to finance Christmas imports, while others are buying in anticipation of future scarcity.
Data also shows that the central bank reduced the supply of the dollar through its forex auctions.
Earlier in August, commercial banks demanded over $300 million, but only $100 million was supplied.
A report by IC Securities further revealed that forward sales in July 2025 fell by 53.6% compared to June, with the Bank of Ghana absent from the market on July 25 and 29, which was the first time since April.
Challenges the cedi has previously experienced
The Ghanaian cedi has endured a long and difficult struggle to keep pace with the US dollar over the years, performing particularly poorly between 2020 and 2023 when Covid-19 hit.
Ghana's official currency rose from about GH¢ 5.50 in January 2020 to GH¢11.88 in December 2023, per data from the Bank of Ghana.
The cedi's performance worsened over the years, reflecting a steady decline in its value, investor confidence, and the overall stability of the economy.
Ghana, under former President Akufo-Addo's leadership, explored various ways to boost the cedi’s value, but to no avail.
The cedi's relatively poor performance over the decades reflects Ghana’s economic challenges, high inflation, dependence on imports, and limited foreign exchange reserves.
The sharp appreciation in 2025 has brought joy among Ghanaians and other consumers who have long grappled with the impact of a weakening currency on inflation and the cost of living.
Finance Minister Ato Forson celebrates cedi's rise
YEN.com.gh had earlier reported that Ato Forson, the Finance Minister, praised the significant progress in stabilising Ghana's currency.
He noted that the President Mahama-led administration had reversed the cedi's depreciation, making it one of the best-performing currencies globally.
Dr. Forson highlighted the role of the Ghana Gold Board in the cedi's stability, with a 16.7% year-to-date gain as of May 2025.
Source: YEN.com.gh
