The Ghana cedi has gained momentum over the last two weeks following its depreciation some weeks ago, according to Databank Research, as reported by Joy Business on Tuesday.

Around June 9, a Bank of Ghana (BoG) report revealed that the currency had depreciated by about 11% against major trading currencies. However, the latest report indicates that it has narrowed its year-to-date losses to 6%.

The report attributed the surge to the massive supply of foreign exchange (forex) by the Bank of Ghana, which helped ease pressure on the market and curb the rush to buy foreign currencies that had weakened the cedi in recent months.

Databank Research indicated that the cedi appreciated by 5.66% against the US dollar, 6.76% against the British pound, and 6.24% against the euro during the review period. The currency closed at mid-rates of GHS11.22 per US dollar, GHS14.83 per pound, and GHS12.86 per euro.

The gains were also reflected in the retail market, where the cedi strengthened by 2.07% against the dollar to GHS12.05 per US dollar. It also advanced by 2.19% against the pound and 2.25% against the euro, ending the period at GHS16.00 per pound and GHS13.90 per euro, respectively.

The currency’s performance exceeded expectations, largely due to stronger-than-anticipated interventions by the Bank of Ghana. Earlier forecasts had projected relatively modest FX injections at the start of June, with larger interventions expected later in the month.

However, the BoG pumped a huge amount of forex, particularly US dollars, into the market, possibly at favourable rates. This reduced panic buying of foreign currency and helped the cedi strengthen by about 6% over two weeks, reversing the trend seen in previous weeks.

The interventions have also helped restore confidence among market participants by reducing speculative demand for foreign currency. In the past, particularly last year, the central bank’s interventions, ranging between US$1.2 billion and US$1.5 billion, helped calm the market and improve the cedi’s performance against other currencies.

Market watchers believe the cedi could strengthen further in the weeks ahead. With a significant portion of the Bank of Ghana’s June 2026 FX allocation of approximately US$1.2 billion yet to be disbursed, additional foreign exchange supply is expected to continue supporting the local currency.

Analysts project that, provided FX liquidity inflows remain strong, the cedi could appreciate toward the GHS10.90-per-US-dollar mark in the near term.

The latest gains underscore the growing influence of central bank interventions in stabilising Ghana’s foreign exchange market, with investors closely watching the pace of future liquidity injections and broader market conditions.

Govt's measures to sustain cedi

Meanwhile, as part of a revamped reserve-building drive, large-scale gold miners ‌have been instructed by the government to sell 30% of their gold output to the central bank from the earlier 20%, this is according to a Reuters report.

According to the report, the directive is yet to be accepted by miners, as key commercial terms remain unresolved. Last year, miners operating under valid mining license were offered a special temporary bonus scheme from the Ghana Gold Board (GoldBod) in efforts to support the industry as well as combating gold smuggling.

The licensed miners will enjoy an additional GH¢832 per pound of gold sold through the Ghana Gold Board. This information was contained in a statement issued by the GoldBod on Wednesday, August 27.

“This novelty is in response to legitimate complaints from licensed miners about the significant reduction in the local price of gold in the last few months due to the continuous appreciation of the Ghana cedi.

“The special bonus will ensure that licensed miners who have contributed immensely to the country’s increased gold output and foreign exchange earnings do not indirectly suffer as a result of the significant appreciation of the Ghana cedi that they have helped the country achieve,” the statement read.

According to GoldBod, the recent development has been made possible as a result of the continuous appreciation of the Ghana cedi.