Currency News [May 26, 2025]

The Cedi maintained its roller-coaster ride against its three major trading partner currencies, extending its weekly gains by a bigger margin this week compared to the previous weeks, with no clear view as to when the Cedi’s rally is likely to stabilize. The Cedi opened the week set to extend its recovery to cover last year’s losses on both the Bank of Ghana (BoG) inter-bank trading platform and the Open Forex Market (oanda.com) as the local unit continued to ride on a mixed bag of international and domestic developments.

A report issued by the central bank after the conclusion of its third monetary policy sitting for the year noted that “the Cedi has rebounded strongly against the major trading currencies driven by a combination of factors including tight monetary policy stance, ongoing fiscal consolidation, record reserve accumulation, strict enforcement of foreign exchange market rules and improved market sentiments.” The Cedi’s rally has also been supported by a record provisional current account surplus of USD 2.1 billion in the first quarter of the year, driven largely by higher prices and increased production volumes of gold and cocoa, and strong remittance inflows.

On the BoG inter-bank trading platform, the Cedi soared by 14.96%, 13.66%, and 13.89% to open the week trading at GHS 10.4052, GHS 14.1115, and GHS 11.8395 from last week’s opening trade quotes of GHS 12.2361, GHS 16.3438, and GHS 13.7493 against the Dollar, the Pound, and the Euro, respectively. The Dollar fell against some of its trading pairs on concerns over the US’s fiscal health as President Trump’s tax bill moved through Congress.

On the Open Forex Market (oanda.com), the Cedi surged by 14.12%, 12.71%, and 12.89%, having been exchanged for GHS 10.6143, GHS 14.4007, and GHS 12.0906 at the start of the week from last week’s opening trade quotes of GHS 12.3597, GHS 16.4970, and GHS 13.8803 against the Dollar, the Pound, and the Euro, respectively. The Cedi rose against the Euro despite the single currency rising against some of its trading pairs, boosted by data which showed that economic growth in the bloc’s largest economy, Germany, rose significantly in the first quarter at 0.4% than previously estimated.

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 10.4052, indicating a Year-to-Date (YTD) gain of 29.25% on the BoG inter-bank trading platform. It is also presently being quoted at GHS 10.6143 on the Open Forex Market (oanda.com) after opening the year at GHS 14.7134, indicating a YTD gain of 27.86%.