The government has so far succeeded in redeeming some value for the local currency against the dollar.
The Ghanaian government has pumped fresh dollars into the economy to halt the recent depreciation of the cedi against major foreign currencies.
A man trades U.S. dollars for Ghanaian cedis at a currency exchange office in Accra, Ghana, June 15, 2015. Picture taken June 15. REUTERS/Francis Kokoroko
A few weeks ago the dollar was trading at GH¢5.60. but in just a week the dollar has ceded some 80 pesewas to the local currency.
This is happening after Ghana successfully raised $3 billion from international financial institutions through a three-tranche Eurobond which attracted more bids than the country asked for.
On Tuesday, March 19, 2019, at the close of a roadshow in London, the subscription for the 2019 sovereign bond had swelled, resulting in orders totaling $21 billion.
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Check on the forex market on Monday (March 25, 2019) indicated that a dollar was selling at GH¢4.70. At the Global Exchange Forex Bureau at Mallam, Accra, $100 exchanged for GH¢470.
The dollar is expected to further lose value against the cedi when the $3 billion is injected into the economy.
A dollar by the end of January was going for GHC 4.95. The loss continued through February beginning at GHC 4.95 to a dollar and hitting GH¢5 by February 9th.
The dollar ended February at GH¢5.16 to a dollar on the interbank foreign exchange market. It further depreciated by 8 pesewas to reach GH¢5.24 by March 12 and continued to maintain that position for close to a fortnight before taking an ascent to sell at GH¢5.16 on March 22, 2019.
