Currency News for April 12th 2021

The Cedi at the start of the week showed signs of reversing its course after registering four consecutive weekly declines against the US Dollar on the Bank of Ghana (BoG) inter-bank trading platform. It rose marginally against the Dollar following news that proceeds from Ghana’s Eurobond sales had hit the accounts of the central bank.

On the Open Forex Market (oanda.com), however, the Cedi lost steam to build on its previous week’s gain against the Dollar as demand for forex begins to quick up steadily. The influx of the USD 3.00 billion Eurobond proceeds is expected to shore up the country’s forex reserves to enable the central bank to continually come to the aid of the local currency on both the spot and forward markets.

On the BoG inter-bank trading platform, the Cedi was little changed against the Dollar as it traded at GHC 5.7323 this week from previous week’s trade value of GHC 5.7325. After sustaining a 0.46% dip last week, the Cedi gained momentum against the British Pound Sterling to record a gain of 0.85% to trade at GHC 7.8767 at the start of the week from previous week’s trade value of GHC 7.9440. Against the Euro, the Cedi failed to recover from last week’s loss as it further dipped by 0.55% to open the week trading at GHC 6.8273 from previous week’s opening trade value of GHC 6.7898. The single currency strengthened against the Cedi despite the zone’s continual struggles with COVID, with the biggest economies in the Eurozone under lockdown restrictions.

On the Open Forex Market (oanda.com), the Cedi depreciated by 0.16% and 0.74% to trade at GHC 5.7887 and GHC 6.8901 at the start of the week from previous week’s trade values of GHC 5.7797 and GHC 6.8395 against the Dollar and the Euro respectively. The Dollar edged higher against the local currency, helped by a pick-up in US Treasury yields. Against the Pound, the Cedi surged by 0.75% to open the week trading at GHC 7.9487 from previous week’s trade value of GHC 8.0087.

According to the Bank of Ghana inter-bank rates, the Ghanaian Cedi began the year 2021 at GHC 5.7631 [January 4th, 2021] against the US Dollar and is currently selling at GHC 5.7323 [April 12th, 2021] indicating a 0.53% year-to-date appreciation. Similarly, on the Open Forex Market (oanda.com), the Ghanaian Cedi traded at GHC 5.8885 [January 4th, 2021] and is currently trading at GHC 5.7887 [April 12th, 2021], representing a 1.69% year-to-date appreciation of the Cedi against the US Dollar.