The Bank of Ghana (BoG) has pumped US$300 million into the local foreign exchange market in a move aimed at stabilizing the cedi amid growing depreciation pressures.
According to the central bank, the injection was carried out through a seven-day operation designed to ease demand for dollars, support importers, and reduce speculative activity in the forex market.
Why It Matters
The Ghanaian cedi has faced strong pressure in recent weeks, driven by high import demand and limited foreign exchange inflows. The BoG’s intervention is expected to:
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Provide short-term relief for the exchange rate.
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Support businesses that rely on dollar access for imports.
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Boost confidence among traders and investors in the central bank’s commitment to tackling currency volatility.
The Bigger Picture
While the injection may ease the immediate strain, analysts warn that sustainable stability will require stronger export earnings, improved capital inflows, and strict fiscal discipline. Without these, the cedi could remain vulnerable to further depreciation.
The BoG has assured Ghanaians of its continuous monitoring of the market and pledged to use the necessary tools to maintain monetary and exchange rate stability.
Source: Thepressradio.com
