This blog is managed by the content creator and not GhanaWeb, its affiliates, or employees. Advertising on this blog requires a minimum of GH₵50 a week. Contact the blog owner with any queries.
Ted News Ghana Blog of Tuesday, 18 March 2025
Source: TEDDY VAVA GAWUGA
Finance Minister Dr. Cassiel Ato Forson has revealed that the Ghanaian cedi has depreciated by 5.3% against the US dollar as of March 14, 2025.
Addressing Parliament on Tuesday, Dr. Forson acknowledged the persistent decline of the cedi but noted a slight improvement compared to the same period in 2024, when the depreciation stood at 5.7%.
“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.
He attributed the depreciation to factors such as tight foreign exchange liquidity, increased forex demand from the energy sector, and heightened commercial transactions. However, he assured lawmakers that since February 19, 2025, the cedi had shown signs of stability, thanks to interventions by the Bank of Ghana (BoG).
“The cedi has witnessed stability since February 19, on the back of central bank forex interventions,” he emphasized.
To curb further depreciation, Dr. Forson outlined government strategies, including:
Increasing foreign exchange reserves
Enhancing domestic production through import substitution
Managing external debt obligations effectively
These measures, he assured, will complement the Bank of Ghana’s monetary policies to stabilize the economy, reduce exchange rate volatility, and boost investor confidence.
Meanwhile, the Bank of Ghana’s data indicates that in January 2025, the cedi depreciated by 2.4% against the US dollar, a steeper drop than 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.
Additionally, the cedi weakened by 3.0% against the euro, trading at GH¢15.69, and depreciated by 0.8% against the British pound, reaching GH¢18.55.
The Finance Minister has set a target to limit the cedi’s annual depreciation rate to 8%, as part of broader efforts to restore economic stability.
