The Ghana cedi has surged against the US dollar, British pound and euro over the past two weeks, delivering welcome relief for importers, international travellers, students paying fees abroad and businesses that rely on foreign exchange. The currency’s strong rebound has narrowed its year-to-date losses to about 6%, down from nearly 11%, following significant foreign exchange interventions by the Bank of Ghana.
The stronger currency could bring relief to importers, businesses that rely on foreign goods, international travellers and students making payments abroad, as fewer cedis are now needed to buy major foreign currencies.
Follow our WhatsApp channel for more interesting and relevant news
According to Databank Research, the cedi appreciated by 5.66% against the US dollar, 6.76% against the British pound and 6.24% against the euro on the interbank market during the review period.
The local currency closed at midrates of GHS11.22 per US dollar, GHS14.83 per pound and GHS12.86 per euro.
Cedi Outperforms Expectations
The gains were largely driven by robust foreign exchange liquidity injections from the Bank of Ghana, which helped ease pressure on the market and reduce speculative demand for dollars.
The positive trend was also reflected in the retail market. The cedi strengthened by 2.07% against the dollar to GHS12.05 per US dollar. It also appreciated by 2.19% against the pound and 2.25% against the euro, ending the period at GHS16.00 per pound and GHS13.90 per euro, respectively.
Analysts had expected more modest interventions at the beginning of June, with larger foreign exchange support anticipated later in the month.
However, stronger-than-expected liquidity injections changed the outlook and helped the cedi record an average appreciation of around 6% over the two-week period.
The interventions have also helped restore confidence among traders, investors and businesses by reducing demand driven by fears of further currency depreciation.
What Happens Next?
Market observers believe the cedi could strengthen further in the coming weeks.
A significant portion of the Bank of Ghana’s June 2026 foreign exchange allocation, estimated at about US$1.2 billion, is yet to be released into the market. Additional supply is expected to provide continued support for the local currency.
Analysts say that if foreign exchange inflows remain strong and market conditions stay favourable, the cedi could appreciate towards GHS10.90 per US dollar in the near term.
The latest gains highlight the growing impact of central bank interventions on Ghana’s foreign exchange market, with businesses and households closely watching whether the stronger cedi translates into lower costs for imported goods and services.
