Currency News [February 10, 2025]

The Cedi lost luster at the week’s opening as it sustained 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). The Cedi is among other emerging market currencies and currencies of some developing nations that are currently enduring pressures on the back of investors fleeing riskier currencies to increase their exposures in safe-haven assets as concerns of trade wars soar.

The Cedi’s performance this week comes in the wake of the Ghanaian government engaging with a team from the International Monetary Fund (IMF) where the meeting is expected to be heavy on Ghana’s macroeconomic outlook and policy direction ahead of the presentation of the 2025 budget statement. The IMF team would be expected to examine carefully how the government will maintain fiscal balance at a time when the new government is expected to deliver on its promise to scrape some key revenue streams.

On the Bank of Ghana (BoG) inter-bank trading platform, the Cedi traded down by 1.18%, 0.89%, and 1.20% to begin the week being sold for GHS 15.4877, GHS 19.1893, and GHS 15.9751 from last week’s opening trade quotes of GHS 15.3077, GHS 19.0198, and GHS 15.7853 against the Dollar, the Pound, and the Euro respectively. The Dollar rose against a basket of peers after President Trump threatened to levy new tariffs on metal imports, prompting demand for the safe-haven greenback.

On the Open Forex Market (oanda.com), the Cedi depreciated by 0.79%, 1.17%, and 1.27% to open the week trading at GHS 15.5087, GHS 19.2142, and GHS 15.9965 from last week’s opening trade quotes of GHS 15.3873, GHS 18.9919, and GHS 15.7963 against the Dollar, the Pound, and the Euro respectively. The Euro gained against the Cedi despite data showing the German economy remains troubled as industrial production in the Eurozone’s largest economy fell by more than expected, declining by nearly 2.5% compared to the previous month.

The Cedi was quoted at GHC 14.7074 on the first trading day of the year against the Dollar and is currently being sold at GHS 15.4877 indicating a Year-to-Date (YTD) depreciation of 5.31% on the BoG inter-bank trading platform. It is also presently being quoted at GHS 15.5087 on the Open Forex Market (oanda.com) after opening the year at GHS 14.7134 indicating a YTD loss of 5.41%.