Currency News [May 19, 2025]

The Ghanaian Cedi maintained its steady appreciation against its three major trading partner currencies on both the Bank of Ghana (BoG) inter-bank trading platform and the Open Forex Market (oanda.com) as the Cedi looks set to extend its recovery to the preceding year. The Cedi’s historic run is stemming from a confluence of both domestic and foreign developments. Speaking at the swearing-in of the governing board of the Ghana Gold Board (GoldBod), Ghana’s finance minister recounted that the Cedi’s rally “stems from a robust policy framework, underpinned by synchronized monetary and fiscal measures, as well as a favorable global context.”

On the domestic front, the local unit has been supported by some government policies, such as the gold for oil programme and the formation of the GoldBod, as these policies have helped to shore up Ghana’s reserves. The ongoing IMF-assisted programme, which is aimed at restoring the economy after a COVID-linked economic downturn, coupled with the recent upgrade of Ghana’s local and foreign currency issuer ratings by S&P, has helped to restore investor confidence in the Ghanaian economy. On the international front, the weakening of the Dollar against most of its trading pairs, falling crude oil prices, and a pickup in gold prices have helped with the Cedi’s strengthening.

On the BoG inter-bank trading platform, the Cedi soared by 5.12%, 4.09%, and 4.13%, currently being exchanged for GHS 12.2361, GHS 16.3438, and GHS 13.7493 from the previous week’s opening trade quotes of GHS 12.8964, GHS 17.0401, and GHS 14.3411 against the Dollar, the Pound, and the Euro, respectively. The American greenback further retreated against some of its trading partner currencies after credit rating agency, Moody’s, cut the US’s top sovereign credit rating by a notch from ‘AAA’ to ‘Aa1’, with the rating agency warning that successive US governments had failed to address its ballooning debt stock.

On the Opening Forex Market (oanda.com), the Cedi surged by 5.83%, 4.89%, and 5.07% to trade at GHS 12.3597, GHS 16.4970, and GHS 13.8803 at the week’s opening from last week’s opening trade values of GHS 13.1249, GHS 17.3444, and GHS 14.6223 against the Dollar, the Pound, and the Euro, respectively. The Cedi continued its record appreciation against the Pound despite news that the British economy grew more strongly in the first quarter of 2025 at 0.7%, up sharply from an increase of 0.1% in the last quarter of 2024.

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 12.2361, indicating a Year-to-Date (YTD) gain of 16.80% on the BoG inter-bank trading platform. It is also presently being quoted at GHS 12.3597 on the Open Forex Market (oanda.com) after opening the year at GHS 14.7134, indicating a YTD gain of 16.00%.