The Ghana Association of Forex Bureaux is predicting a marginal depreciation of the cedi against the US dollar going into the festive season.
The local currency has come under some pressure in recent times despite recording a relative stability for the greater part of the year.
Even though Fitch Solutions projected the cedi to end 2023 at 11. 40 to a dollar, the Ghana Association of Forex Bureau believes an increase in the demand for the dollar coupled with high imports may force the cedi to lose some value against the dollar
"Yes, you must know that during the festive season, there will be a lot of demand for foreign currency especially the US dollar because most of our imports are dollar denominated. And so you would expect that the dollar and for the matter the rate of the dollar compared to the cedi will depreciate"
"The depreciation would be small I can tell you", he added.
Dr. Alex Akpabli however called for the regulation of imports going forward to reduce the pressure on the local currency.
"We just need to find ways to deal with the high importation of goods in the country. The Ghana cedi is doing well and we can do better if we work around all indicators”, he mentioned.
Cedi to strengthen 1.0% to the dollar in 2024
According to Fitch Solutions, the cedi is expected to strengthen by roughly 1.0% to the US dollar in 2024.
This will make it one of the best-performing currencies in Africa during the period.
According to the UK-based firm, the government will make progress regarding the restructuring of Ghana’s external debt under the G20 Common Framework by the second quarter of 2024.
This it says will boost investor sentiment towards Ghanaian assets, drive capital inflows, and provide support to the cedi.
Latest Stories
-
Pope Francis’ critic excommunicated by the Vatican
7 hours -
Biden vows to stay in race and beat Trump in defiant speech
7 hours -
2024 Kosmos Innovation Center AgricTech Challenge classic commences
7 hours -
Tullow announces leadership changes in Ghana
7 hours -
Commitments from 2022 Global Citizen Festival: Accra lead to over 1 million Ghanaian children vaccinated
7 hours -
Trust in Electoral Commission, courts, and police hit all-time low – Afrobarometer Reports
8 hours -
Kumasi High defeats OLAG SHS to clinch the ultimate at 6th LUV FM High School Debate
8 hours -
Euro 2024: Cristiano Ronaldo and Portugal crash out as France make semis
8 hours -
NIA Board rejects petition to remove Prof Attafuah
8 hours -
NSMQ2024: KSTS silences Okuapemman; Benkum march over Saviour, Kwahu Tafo and Abetifi Presby
8 hours -
National Security didn’t demolish wall around Prison Service land – Interior Minister
8 hours -
Bawumia calls for Pan-African digital payment system to boost trade
9 hours -
What is Agriculture Ministry, and others doing in Accra? – Okyenhene quizzes
10 hours -
Mas-Ud Didi Dramani highlights impact of fan influence on scouting decisions
10 hours -
Ghanaian musician Cee Levelz to release new video ‘Commotion’ on July 6
10 hours