Cedi depreciation to continue; depreciates 24.5% to dollar since January 1, 2024

The Ghanaian cedi's depreciation against major foreign currencies is likely to continue due to low foreign exchange liquidity.

Last week, the cedi fell by 0.31% against the dollar, 1.82% against the pound, and 3.76% against the euro, reaching GH¢16.28 per dollar, with a year-to-date loss of 24.57%.

Contributing factors include Ghana Cocoa Board's plan to forgo its annual cocoa syndication loan and recent Eurobond coupon payments, which increased foreign exchange demand.

However, Ghana's upcoming 10-day Eurobond debt exchange could stabilize the cedi if successfully executed, easing market uncertainties.

Read full article