Currency News [February 24, 2025]

The Cedi lost luster as it opened the week pressured against its three major trading partner currencies on the Open Forex Market (oanda.com) where it nursed losses against the Dollar, the Pound, and the Euro. Mounting and renewed pressures on the local unit have pushed the Cedi to lose over 6.0% of its value before the close of the second month of the year against the Pound and the Euro. This mainly stems from both domestic and international developments. On the international front, the optimism that greeted the ascendance of President Trump to the White House coupled with geopolitical tensions in the Middle East amid concerns about the imposition of tariffs and retaliatory tariffs on the global economy boosted safe-haven appeals at the expense of riskier currencies.

On the domestic front, the Cedi’s woes continue to be intensified by growing demand for forex by importers and businesses amid suppressed supply with cocoa’s contribution to Ghana’s forex reserves expected to diminish. Analysts expect the repatriation of proceeds by offshore investors from the recently paid coupons on the Domestic Debt Exchange Programme bonds to hurt the local unit in the interim until such time when Ghana takes hold of the next tranche of USD 360.0 million from the International Monetary Fund.

On the Bank of Ghana (BoG) inter-bank trading platform, the Cedi opened the week unchanged at GHS 15.5078 from last week’s opening trade value. Against the Pound, the Cedi lost by 0.20% to trade at GHS 19.5940 at the week’s start from last week’s opening trade quote of GHS 19.5553. The Pound gained against a basket of currencies following the release of data indicating a significant increase in the UK’s consumer spending last month. It however gained steam against the Euro as it rose by 0.08% to trade at GHS 16.2215 at the start of the week from last week’s opening trade value of GHS 16.2514.

On the Open Forex Market (oanda.com), the Cedi plunged by 0.53%, 0.87%, and 0.53% to trade at GHS 15.5302, GHS 19.6426, and GHS 16.2839 at the week’s start from last week’s opening trade values of GHS 15.4490, GHS 19.4724, and GHS 16.1987 against the Dollar, the Pound, and the Euro respectively. The Euro rose against a host of trading pairs following the victory by Germany’s conservatives in the national election.

The Cedi was quoted at GHC 14.7074 on the first trading day of the year against the Dollar and is currently being sold at GHS 15.0000 indicating a Year-to-Date (YTD) depreciation of 5.00% on the BoG inter-bank trading platform. It is also presently being quoted at GHS 15.5302 on the Open Forex Market (oanda.com) after opening the year at GHS 14.7134 indicating a YTD loss of 5.55%.