As the Ghana cedi continues to appreciate steadily, many traders and investors are beginning to rethink their long-standing reliance on the U.S. dollar. The result is a rising interest in alternative stores of value, with the Ghana Gold Coin (GGC) emerging as a preferred option.
According to Mr. Charles Kusi Appiah, Head of the Business and Economic Bureau at the Ghana Union of Traders Association (GUTA), the current shift in currency dynamics is prompting a number of GUTA members to consider converting their dollar holdings into gold coins.
“When the cedi struggles, people turn to the dollar as a store of value, but now, the cedi is appreciating,” Mr. Appiah said. “So why hold forex when it’s losing value?”
He recounted how some traders have already reached out to him with questions about what to do with their dollar savings. “Someone called me today and asked, ‘What do I do with my forex holdings?’ And I said, liquidate if you don’t need it—there are better investment options now, like gold coins,” he advised.
The Ghana Gold Coin, introduced by the Bank of Ghana under the Domestic Gold Purchase programme and other gold-backed policy frameworks, is increasingly seen as a credible and appreciating asset. Backed by the country’s natural gold reserves, the coin is gradually earning its place in investment conversations.
As of April 16, 2025, the 1 oz coin is valued at GH¢51,696.18, while the 0.5 oz and 0.25 oz versions are priced at GH¢26,261.66 and GH¢13,130.83 respectively.
Mr. Appiah stated that the trend is not merely based on speculation. “With the introduction of Gold4Oil and other gold-backed initiatives, most international transactions now use gold. That has reduced the need for forex in the system.”
He noted further that “Whenever forex outperforms the cedi, our working capital takes a hit. But now, with the cedi gaining ground, there’s less incentive to hold onto dollars. That’s pushing demand down.”
Notably, this shift in thinking aligns with the advice of Ghanaian economist Dr. Theo Acheampong, who recently noted that in the face of cedi strength and a declining dollar, gold may offer a safer hedge.
If this trend holds, there could be a surge in the popularity of the gold coin, especially as a long-term store of value. This behavior echoes global patterns, particularly in the U.S., where investors often turn to gold during periods of economic uncertainty.
