Cedi troubles continue, depreciates 21% to dollar as one dollar goes for GH¢15.70

Last week, the Ghanaian cedi lost 3.88% against the US dollar, increasing its year-to-date depreciation to 21.20%.

This decline is due to a stronger US dollar and renewed local corporate demand for foreign exchange. Despite starting the week of June 18, 2024, unchanged at GH¢15.70 in forex bureaus, the cedi also fell 2.43% against the pound and 2.87% against the euro.

The US Federal Reserve's tight monetary policy boosted the dollar index, pressuring the cedi. However, Ghana's agreement on debt restructuring with official creditors could lead to a $360 million IMF disbursement, potentially stabilizing the cedi.

Analysts expect the cedi to trade sideways this week.