The Ghana cedi is expected to continue its stability against the US dollar and other major currencies this week.
This is expected to be supported by improved foreign exchange (FX) support from the Bank of Ghana.
The Cedi recorded some gains last week across the major trading currencies on the retail market.
The Central Bank provided about $25 million to bolster liquidity in the FX market.
Consequently, the cedi appreciated 0.64% week-on-week against the dollar to close the week’s trades at a retail market mid-rate of 11.68/$.
The local currency also gained 0.67% week-on-wee against the pound, while impressively gaining 1.60% against the euro despite persistent policy rate tightening by the Central Bank of Europe.
The Ghana Cedi ended the first half of this year with a better performance than the same period last year.
According to Bloomberg, the cedi lost about 11.21% to the US dollar, yet was still classified among African currencies with ‘Worst Spot’ Returns’.
On the interbank market, the Bank of Ghana put the year-to-date loss of the cedi to the dollar to about 20%.
Meanwhile, the Nigerian Naira is the worst African currency so far this year, according to Bloomberg.
It has lost about 39% value to the US dollar.
It is followed by the Angola Kwanza and the Egyptian pound with year-to-date losses of 38.8% and 20% respectively.
In the first quarter of 2023, the Bank of Ghana put the depreciation of the cedi to the dollar at 22.1%.