Governor of the Bank of Ghana (BoG) Dr Ernest Addison has said the Cedi has enjoyed relative stability over the past few weeks.
He attributed the stability to tight monetary policy measures introduced on the foreign exchange market.
It is recalled that as part of measures to deal with the Cedi fall, the central bank it was working with the Financial Intelligence Centre to sanitise the foreign exchange market. Foreign exchange bureaux monitoring will be stepped up to ensure compliance with their regulatory framework.
In line with this, all foreign exchange bureaus advertising rates outside their premises and on social media platforms must immediately desist from the practice.
The Bank has set up a task force to monitor all the foreign exchange bureaux to ensure compliance. The foreign exchange market is also affected by sentiments and pronouncements made in this election year and we urge all to manage pronouncements which weakens confidence in the local economy.
Addressing the 119th MPC press conference in Accra on Friday July 26, Governor Addison said that “The Ghana cedi came under pressure in the first half of the year, especially in May 2024, but has since eased.
“The relative stability on the foreign exchange market in the past few weeks reflects the continued tight monetary policy stance, implementation of the dynamic Cash Reserve Ratio (CRR) to mop excess liquidity, revised regulations on advanced payments for imports by the Bank, and positive sentiments from the third tranche of the IMF Extended Credit Facility and agreement in principle with external creditors.
“From the beginning of the year to 19th July 2024, the Ghana Cedi depreciated by 19.6 percent against the US Dollar, compared with 22.1 percent for the same period of last year.”
