Currency News [April 29, 2024]

The Cedi after a short reprieve where it was seen making attempts to recover some of its recent losses against its three major trading partner currencies, opened the week nursing losses across the board against its three major trading partner currencies on both the Bank of Ghana (BoG) inter-bank trading platform and the Open Forex Market (oanda.com).

Renewed pressures on the local unit are beginning to bite as demand for forex by corporate bodies surges. Forex demand by body corporates has seen a rise as businesses prep for dividend payments and other entitlements to offshore partners. Recent intervention in both the spot market and forward forex rate market for Bulk Oil Distribution Companies (BDCs) has widely been insignificant in taming the strong demand by BDCs, importers, and corporate institutions. Analysts believe that the Cedi will be expected to maintain some level of stability on the back of growing optimism that key economic indicators in Ghana are pointing towards improving macroeconomic variables.

On the BoG inter-bank trading platform, the Cedi lost by 1.36%, 3.10%, and 2.05% having been sold at GHS 13.2508, GHS 16.6298, and GHS 14.2001 at this week’s opening from last week’s opening trade values of GHS 13.0731, GHS 16.1296, and GHS 13.9145 against the Dollar, the Pound, and the Euro respectively. The Pound recovered from last week’s losses against some of its trading pairs as confidence grew after British businesses recorded their fastest growth in activity in nearly a year.

On the Open Forex Market (oanda.com), the Cedi traded down by 1.04%, 2.56%, and 1.64% to open the week trading at GHS 13.6104, GHS 17.0692, and GHS 14.5875 from last week’s opening trade quotes of GHS 13.4703, GHS 16.6435, and GHS 14.3520 against the Dollar, the Pound, and the Euro respectively. The Euro received a boost after economic data revealed that the Eurozone’s largest economy was slowly recovering.

The Cedi was quoted at GHC 11.8859 on the first trading day of the year against the Dollar and is currently being sold at GHS 13.2508 indicating a YTD loss of 11.46% on the BoG inter-bank trading platform. It is also presently being quoted at GHS 13.6104 on the Open Forex Market (oanda.com) after opening the year at GHS 11.9945 indicating a YTD loss of 13.47%.