The Ghana cedi weakened slightly over the past two weeks as seasonal pressures increased.
According to market data, the currency faced modest depreciation against major trading currencies due to higher end-of-year demand and reduced forex support from the Bank of Ghana.
On the interbank market, the cedi closed the two-week period at GH¢11.41 to the US dollar, compared to GH¢11.12 earlier.
It also fell by 4.62% against the British pound to GH¢15.26 and by 3.87% against the euro to GH¢13.32.
In the retail market, the cedi slipped by 0.41% to GH¢12.05 to the dollar.
It also lost 0.94% and 1.08% of its value against the pound and euro, closing at GH¢15.90 and GH¢13.95, respectively.
Databank Research noted that these movements were expected, given the seasonal rise in demand for forex and the central bank’s more cautious support.
It added that volatility was still relatively moderate compared to past years, thanks to strong forex supply and targeted interventions.
The research firm expects the cedi to remain relatively stable in the near term, projecting a retail market range of GH¢11.67 to GH¢12.15 to the dollar.
It also indicated that low Open Market Operations (OMO) yields may have encouraged banks to increase their foreign exchange holdings, but the Bank of Ghana’s revised net open position limits (0% to -10%) have helped prevent excessive pressure on the cedi.
Additionally, an anticipated IMF disbursement could help strengthen sentiment and limit further depreciation.
Meanwhile, the cedi started the week trading at GH¢12.20 on the retail market.
The currency has gained 27.78% year-to-date since January 1, 2025.
