Governor of the Bank of Ghana (BoG), Dr. Johnson Asiama, says the Cedi’s recent gains are due to several decisive measures. Speaking at the 124th Monetary Policy Committee (MPC) press conference, he cited tight monetary policy, fiscal discipline, rising reserves, and strict enforcement of forex regulations.
According to Dr. Asiama, the Cedi has made strong gains against all major currencies this year. “The appreciation is market-driven, but we are monitoring it closely,” he said.
He reported that from January to May 21, 2025, the Cedi appreciated:
- 24.1% against the US dollar
- 16.2% against the British pound
- 14.1% against the euro
He emphasized that the BoG’s focus remains on ensuring long-term exchange rate stability.
Dr. Asiama also shared positive news on inflation and the external sector. Headline inflation has fallen for four straight months, supported by lower food and non-food prices. The central bank expects inflation to ease faster than previously projected, reaching the medium-term target by early 2026.
Ghana recorded a provisional current account surplus of $2.1 billion in Q1 2025. This was driven by strong gold and cocoa exports and high remittance inflows. The balance of payments also showed a $1.1 billion surplus. Gross international reserves reached $10.7 billion, covering 4.7 months of imports.
Despite the good news, the BoG kept the policy rate unchanged at 28%, saying inflation remains high. The MPC unanimously agreed that maintaining the current rate will reinforce price stability.
