The loss in the value of the dollar against the Ghana cedi should not deter Ghanaians living abroad from sending remittances home.
This was the central message delivered by Ghana’s Deputy Finance Minister, Thomas Nyarko Ampem, during the 2025 Hamburg Sustainability Conference, where he engaged members of the Ghanaian diaspora in Germany.
Amid recent appreciation of the cedi against major foreign currencies, concerns have emerged about the potential impact on remittance flows. But Mr. Ampem reassured the diaspora that Ghana’s economic outlook remains favourable, arguing that a strong cedi is not a setback, but rather an opportunity.
“Don’t hold back. We are working hard to keep the cedi strong,” he said. “Waiting for depreciation before sending money may lead to missed opportunities. A stronger currency supports economic growth and should boost your confidence in investing back home.”
A Rising Trend in Remittances
Ghana has consistently recorded an upward trend in remittance inflows over the past five years. According to Bank of Ghana data, personal remittances rose from $3.6 billion in 2020 to $4.7 billion by the end of 2023, with early projections indicating continued growth through 2025.
These inflows have become a vital pillar of household income, community development, and small business financing. They also play a stabilizing role in the country’s external accounts, supporting foreign exchange reserves and helping cushion the economy against external shocks.
In 2022, remittances accounted for nearly 6% of Ghana’s GDP, surpassing earnings from cocoa exports and positioning the diaspora as a critical economic force.
How a Stronger Cedi Changes the Game
Recent monetary tightening by the Bank of Ghana, prudent fiscal management, and foreign exchange reforms have contributed to the cedi’s appreciation since late 2024. While this trend has prompted some overseas Ghanaians to delay remittances in anticipation of more favourable exchange rates, economists warn that this strategy could backfire.
“A stable currency means reduced inflation, more purchasing power, and a better environment for business,” Mr. Ampem explained. “It lowers the cost of imports, increases economic predictability, and encourages more efficient long-term investment planning.”
Financial analysts note that holding back remittances in the hope of future depreciation may cost the sender more in lost opportunities, especially with inflation easing and consumer prices stabilizing domestically.
New Frontiers for Investment
Beyond routine family support, the Deputy Minister encouraged Ghanaians abroad to explore opportunities in strategic sectors like agribusiness, renewable energy, real estate, and tech innovation.
“These are areas the government is prioritizing under our economic recovery and transformation agenda,” he said. “Your contributions can have outsized impact, not just for your families, but for Ghana’s broader development.”
To that end, the government is intensifying outreach efforts to the diaspora, including facilitating access to land and financing, streamlining investment registration processes, and promoting diaspora bonds to mobilize foreign capital.
Building Confidence Amid Volatility
Mr. Ampem also highlighted reforms aimed at protecting remittances and bolstering confidence in the economy. These include:
- Enhanced regulation of forex bureaux and money transfer operators
- Expansion of formal remittance channels with better rates and lower fees
- Incentive packages for diaspora investors in high-impact sectors
“The message is simple,” he concluded. “A stronger cedi should not be seen as a barrier, it’s a sign of resilience. And with your continued support, we can build an economy that works for all Ghanaians.”
