The Ghana cedi strengthened for the second day running to ¢14.00 to one US dollar in the retail or forex market as it continued its recent gain against the American ‘greenback’.
This is against ¢14.50 it sold to a dollar yesterday October 25, 2022.
Joy Business understands that the cedi is strengthening against the American currency because of the anticipated dollar liquidity as a result of inflows (first tranche) of the cocoa syndicated loan and the expected staff-level agreement between the government and the International Monetary Fund by December 2022.
All things being equal, the first tranche ($790) of the cocoa syndicated loan will hit the account of the Bank of Ghana today. Again, President Akufo-Addo announced yesterday October 25, 2022 that the government will soon reach an agreement with the IMF for an economic programme.
These could be fuelling investor sentiments that the government is committed to an economic recovery.
The local currency also strengthened against the pound and the euro. It is going for ¢15.50 and ¢13.20 to the pound and euro respectively.
The cedi regained some strength against the dollar on October 25, 2022, as one dollar went for ¢14. 50.
The Ghana cedi regained some strength against the US dollar, following weeks of consecutive free fall.
On two occasions, the cedi improved in value against the American ‘greenback’ ending the day at ¢14.50, figures from leading forex bureaus indicated.
This was almost 4% gain against the world’s most important currency just in a day.