The Ghana cedi continues to suffer from the strong demand for the US dollar, as the local currency has lost some value relative to the US dollar as of late.

On November 13, 2023, the local unit fell by 0.41% day over day, based on data from the forex market.

This indicates that the retail market value of the9 cedi is currently ¢12.13 to one US dollar.

On the interbank market, the Bank of Ghana is quoting a dollar at ¢11.52.

Some market analysts are attributing the recent depreciation of the local currency to the Christmas festivities where importers are bringing in more goods onto the market to sell.

However, the expected inflows from the Cocoa Syndication Loan and the $600 million International Monetary Fund would reverse the depreciation. Therefore, any delays will worsen the plight of the local currency.

Presently, the cedi has lost almost 12% in value to the dollar in the retail market since the beginning of the year, whilst it has depreciated by almost 23% in the interbank market.

Cedi’s outlook hinges on cocoa syndication loan, IMF inflows – Report

Analysts had earlier said the outlook of the Ghana cedi now hinges on the timing of the anticipated foreign exchange inflows from the cocoa syndication loan and the second tranche of the International Monetary Fund.

According to GCB Capital, this is crucial to the stability of the cedi for the rest of the year.

For the remainder of quarter 4, 2023, many analysts and market watchers believe the inflows of the cocoa syndication loan and the second tranche of the International Monetary Fund bailout package will influence the performance of the cedi.