Cedi Gains Traction: Ghana's Currency Strengthens Amid Bank of Ghana's Market Interventions
Accra,Ghana – October 9,2025 - The Ghanaian cedi has recorded marginal gains on the interbank market following the Bank of Ghana's drastic changes to its Market Intervention and Forex Auction Programme. According to John Awuah, Chief Executive Officer of the Ghana Association of Banks (GAB), the new measures have improved liquidity in the banking sector and enhanced market predictability.
The cedi has strengthened against the US dollar, with interbank rates dropping from nearly GH¢13.00 last week to hover around GH¢12.35-12.40. Dollar supply on the market has improved, with some institutions that had been hoarding foreign exchange now rushing to sell their holdings to commercial banks and the Bank of Ghana.
The marginal gains in the cedi's value are expected to have a positive impact on Ghana's economy, particularly in terms of stabilizing prices and boosting investor confidence. Businesses and individuals will benefit from the improved predictability of the exchange rate, which will enable them to plan better without worrying about unpredictable currency fluctuations.
The Bank of Ghana has introduced several initiatives to stabilize the foreign exchange market, including a Domestic Gold Purchase Programme, twice-weekly auctions, and transparent market access.
The central bank will commence foreign exchange intermediation under the Domestic Gold Purchase Programme, with plans to sell up to US$1.15 billion during the month. The sales will be conducted on a spot basis through twice-weekly, price-competitive auctions open to all licensed banks.
The Ghana Association of Banks believes that if the current development is sustained, the era of volatility will be a thing of the past. The Bank of Ghana's initiatives aim to promote stability and predictability in the foreign exchange market, which will have a positive impact on the overall economy.
Credit – Joy News
