Cedi maintains depreciation value of 22.1% for February and March 2023

The Bank of Ghana(BoG) Summary of Economic and Financial Data has put the depreciation of the cedi to the dollar at 22.1% as of March 2023.

BoG has put the depreciation of the cedi to the dollar at 22.1% as of March 2023 which fared slightly better as the same figures were replicated in February 2023.

In its latest Summary of Economic and Financial Data, the Central Bank pegged the cedi at ¢11.104 to one US dollar on the interbank market.

However, checks at some forex bureaux indicate that the cedi is trading around ¢12.49 to a dollar.

In February 2023, the local currency also lost 22.1% in value to the American greenback, but its depreciation in January 2023 was 20.6%. This was after the earlier estimate of 19.1% depreciation was revised.

Comparing the cedi’s performance in March 2023 to February 2023, the local currency depreciation to the dollar has slowed down drastically.

For the pound and the euro, the local currency lost 23.5% and 23.1% in value respectively in March 2023.

The cedi appears to be faring slightly better on the forex or retail market where it is going for about ¢12.50 to one US dollar.

Some analysts had projected a mixed performance of the cedi against the US dollar this week.

According to some of them, the increased demand for the US dollar will trigger mixed development in the forex market.

Despite the Finance Minister’s visit to China on debt restructuring talks and the government’s renewal of coupon payments that may improve market sentiment, analysts believe these are not enough to cause the cedi’s recent gains against the American greenback.