Minister of Finance, Ken Ofori-Atta, has disclosed that the Ghana cedi depreciated by 37.1 percent against the US Dollar as of September 27, 2022.
The local currency has since the start of this year significantly lost its value against major trading currencies, especially the US dollar.
The cedi is currently selling at around GH¢10.50 to the US dollar on the retail market and forex bureaus – a situation which has impacted the currency’s performance and resulted in a high cost of living.
But Ken Ofori-Atta addressing journalists at a press briefing said the Bank of Ghana has introduced some enhanced measures aimed at addressing the depreciation of the cedi.
“Some of these measures entail a Special Foreign exchange auction for bulk distribution companies and a Gold Purchase Programme to contain the depreciation of the cedi, which is now slowing down,” the Finance Minister said.
At the start of 2022, demand for forex overtook supplies during a period when high debts and low investor confidence have made it impossible for Ghana to access the international capital market for borrowing.
The situation has resulted in the persistent depreciation of the Cedi against the major trading currencies.
As at July this year, the cedi lost its value by more than 20 percent to the US dollar.
In addition, recent economic downgrades by international rating agencies such as Fitch and Standards & Poors’ has also impacted the investor community at large, while Ghana awaits an IMF support programme which is expected to be accessed in 2023.