President John Dramani Mahama has expressed confidence that the cedi’s depreciation will remain moderate in the coming months, projecting an annual decline of no more than 5%.
Addressing journalists at a media engagement on Wednesday, the President explained that recent currency fluctuations should be seen as part of a natural adjustment process, not a return to instability.
He recalled that in the first half of 2024, the Bank of Ghana (BoG) was forced to intervene heavily as the cedi lost nearly 25% of its value. However, with signs of stability now emerging, the central bank has scaled back its direct market interventions.
“The cedi is making an adjustment and I believe that it will settle at a certain rate,” President Mahama said. “We’ll make sure that any depreciation that occurs is within a margin of about 5% per annum.”
The President acknowledged that steep depreciation, such as the 25% decline last year, disrupts economic planning for businesses and investors. He assured the public that his government’s focus on fiscal discipline, prudent expenditure management, and stronger macroeconomic fundamentals will help create a more predictable environment for trade and investment.
Earlier this year, the cedi recorded strong gains against major international currencies, but its momentum has slowed in recent weeks sparking concerns of a possible reversal. President Mahama, however, stressed that the situation remains under control and that the government is committed to sustaining currency stability.
