The Ghana cedi has staged a strong recovery against the US dollar, recording four consecutive days of gains between Tuesday, August 11 and Friday, August 14, 2026. Data from JOYBUSINESS on the foreign exchange market shows a significant improvement in the local currency's value.
Cedi Makes Consecutive Gains Against Dollar
The latest rates represent a sharp improvement from earlier this month, when some commercial banks were selling the dollar for more than GH¢12. The Bank of Ghana was quoting the dollar at GH¢10.98, while Bloomberg showed about GH¢10.96. Some commercial banks were quoting the dollar at about GH¢11.30 on indicative rates.
Reasons Behind the Recovery
Market players have pointed to improved Bank of Ghana interventions, inflows from the extractive sector, and offshore investors seeking to purchase local bonds as key factors in the recovery. Easing demand for dollars from businesses has also been cited as a reason for the improved market conditions. On Tuesday, August 11, the Bank of Ghana offered US$125 million to commercial banks through an auction, but bids received totalled only US$85 million.
Bank of Ghana Intervention Supports Market
The central bank's intervention has provided much-needed liquidity to the market, supporting the cedi's gains. The Bank of Ghana has told JOYBUSINESS that the recent recovery is in line with its Exchange Rate Management Framework. Sources close to the central bank also expect the cedi to strengthen further this week.
Outlook and Future Expectations
Some banks engaged by JOYBUSINESS expect the cedi's recent gains to continue in the coming weeks, citing improved foreign exchange inflows and easing demand from businesses as key factors. Donor inflows have also supported the market, with additional inflows expected in the coming weeks. These could further strengthen Ghana's reserves.
The Bank of Ghana has assured businesses that there is no need to panic whenever the cedi comes under temporary pressure. It has pointed to the country's strong reserve position as evidence of its ability to intervene and support the foreign exchange market. Ghana's reserves stood at US$12.9 billion at the end of June.
Source: Joy Online
