The Ghana cedi has been struggling against major trading currencies since the start of 2022
EIU releases assessment report on Ghanaian economy
Cedi depreciation to slow down in the coming months
Bank of Ghana, government adopt measures to curb cedi depreciation
The Ghana Cedi has been projected to end 2022 with a GH¢7.87 rate against the United States dollar, the Economist and Intelligence Unit (EIU) has said.
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According to an April 13, 2022 assessment report of the Ghanaian economy, the projection by the London-based firm said the Cedi is expected to depreciate against the US Dollar for the next eight months of this year.
It highlighted that this will largely be influenced by the import-driven structure of Ghana’s economy as well as offshore investor sentiments in Ghana’s bonds on the international capital market.
The EIU in its assessment however adjusted its average end-of-year depreciation from GH¢6.55 to GH¢7.35 – a forecast which could signal some optimism over the persistent depreciation of the Cedi against the US dollar in the past four months of 2022.
Due to some measures adopted by the Bank of Ghana, some market analysts have also projected that the Cedi’s depreciation against the US dollar is expected to slow down over the next eight months of 2022.
The projection is based on the average quotes being offered by some major commercial banks in the country that are selling US$1 at ¢7.80 to retail clients which could in the coming months bring relief to businesses that have been impacted by the Cedi’s depreciation.
Meanwhile, the Ghana cedi has suffered sustained depreciation against major trading currencies since the start of 2022. The currency depreciated against the US dollar by more than 14 percent.
The Ghana cedi has been struggling against major trading currencies since the start of 2022
