The Bank of Ghana (BoG) says it is taking proactive measures to bolster its reserves to address the depreciation of the cedi against major foreign currencies.
With the festive season approaching, the Central Bank anticipates a surge in demand for foreign exchange, prompting this strategic move aimed at stabilizing the local currency.
Currently, the cedi is trading at nearly GH¢ 17 to one dollar, reflecting a significant year-to-date depreciation of 24.3%.
In light of these pressures, the Bank of Ghana aims to reassure both businesses and consumers by steering the cedi toward greater stability through enhanced reserves.
Dr. Ernest Addison, Governor of the Bank of Ghana, highlighted the importance of strengthening reserves to mitigate fluctuations in the cedi’s value.
He underscored that such measures are crucial for safeguarding economic stability and maintaining confidence in the financial system.
“Some are praying that the cedi will recover to GHS 10.00 to a dollar. These are the problems in our economy, the issues about the exchange rate and financial sector issues. But I think the good news is that we are making progress because the developments we are seeing are not different from those in other jurisdictions.”
“So, we need to stay focused, implement the appropriate policies, and build buffers to be able to support the progress we have made.”
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