The Ghanaian cedi continued to face pressure in the opening days of September, sliding against all three major trading currencies, the dollar, euro and pound. The move highlights renewed foreign exchange weakness, with the U.S. dollar in particular tightening its grip as global demand for the greenback stays firm.
Between September 1 and 4, the cedi shed 3.02% against the dollar, marking its sharpest loss in the period. It also eased 2.47% against the euro and 2.17% against the pound, confirming a broad-based depreciation, though the extent of the slide varied by currency.
The dollar’s dominance stood out. Starting the month at a mid-rate of GH¢11.60, the greenback pushed steadily higher, crossing GH¢11.95 by September 4. That climb reflects heightened local demand for hard currency, with businesses and individuals rushing to secure dollars amid concerns about supply.
Rumours of shortages in the market have also added to the pressure, fueling speculative demand and quickening the pace of depreciation. In such an environment, the cedi’s weakness is less about global dollar trends and more about domestic imbalances in supply and demand for foreign exchange.
The euro also gained against the local unit, moving from GH¢13.57 to GH¢13.91 over the same four-day span. While the depreciation was less pronounced than with the dollar, it underscores the cedi’s continued sensitivity to external currencies even outside dollar flows. Similarly, the pound edged higher from GH¢15.71 to GH¢16.05, marking a more moderate loss but still pointing to persistent weakness.
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In response to the mounting pressure, the Bank of Ghana has stepped up measures to stabilise the market, tightening oversight on foreign exchange dealings. It has even gone as far as suspending some banks and money transfer operators for breaching regulatory requirements, signaling its determination to curb malpractice and restore discipline in the FX space.
