Finance Minister Dr. Cassiel Ato Forson has disclosed that the Ghanaian cedi has depreciated by 5.3% against the US dollar as of March 14, 2025.

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He made this known while addressing Parliament on Tuesday, assuring lawmakers that the government is taking decisive steps to stabilize the local currency.

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Dr. Ato Forson acknowledged the persistent depreciation of the cedi but pointed out that its performance had slightly improved compared to the same period in 2024, when it had depreciated by 5.7%.

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“Mr. Speaker, as of 14th March 2025, the cedi had depreciated by 5.3% against the US dollar, compared to 5.7% over the same period in 2024,. This shows a reduction in the depreciation by 0.4%” he stated.

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The minister attributed the depreciation to tight foreign exchange liquidity, high demand for forex from the energy sector, and increased commercial transactions. Despite these pressures, he noted that the cedi had shown signs of stability since February 19, 2025, largely due to interventions by the Bank of Ghana (BoG).

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“Mr. Speaker, the cedi has, however, witnessed stability since 19th February, on the back of central bank forex interventions,” he emphasized.

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To further strengthen the currency and curb depreciation, Dr. Ato Forson outlined government strategies, including increasing foreign exchange reserves, enhancing domestic production through import substitution, and effectively managing external debt obligations.

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He assured Parliament that these initiatives would complement the Bank of Ghana’s monetary policies, helping to stabilize the economy, reduce exchange rate volatility, and boost investor confidence.

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Meanwhile, the Bank of Ghana’s latest data shows that in January 2025, the cedi depreciated by 2.4% against the US dollar, a sharper decline compared to the 1.3% recorded in January 2024. By the end of January, the local currency was trading at GH¢15.06 per US dollar on the interbank market.

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The cedi also weakened by 3.0% against the euro, trading at GH¢15.69, and depreciated 0.8% against the British pound, reaching GH¢18.55.

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The Finance Minister has set a target to reduce the cedi’s annual depreciation rate to 8%, as part of broader efforts to restore economic stability.

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