The Ghana cedi has recorded one of its biggest gains against the dollar since the third quarter of 2025.
Data from major commercial banks seen by Joy Business show that between October 6 and October 10, 2025, the cedi appreciated by about 5% on the interbank market.
This marks the first time since the third quarter of 2025 that the cedi has posted such sharp gains against the U.S. dollar.
The local currency had come under sustained pressure during the third quarter, depreciating by 14%, according to the World Bank’s 2025 Africa Pulse Report.
However, from January to August 2025, the cedi’s overall performance shows an appreciation of 21% against the dollar, reversing some of the earlier losses.
Commercial banks told Joy Business that the record performance occurred with minimal market intervention from the Bank of Ghana during that period.
Reasons for the Gains
Bank treasurers attribute the cedi’s recent rally to new forex and monetary policy measures that have improved dollar supply to banks and strengthened enforcement of foreign exchange regulations.
One of the key drivers was the Bank of Ghana’s decision to revise its forex market interventions, moving auctions from weekly to spot sales for commercial banks.
According to the Ghana Association of Banks, this policy shift has enhanced efficiency in the market.
Its Chief Executive, John Awuah, told Joy Business’s PM Express that the currency’s rebound reflects “recent market developments,” also linking the performance to the Bank of Ghana’s decision to review the Net Open Position for commercial banks.
The World Bank highlighted that with a year-to-date gain of 20%, the cedi’s strength has been buoyed by tight fiscal and monetary policies, rising export revenues, and improved market confidence.
During the same period in 2024, the cedi had lost about 19% to the U.S. dollar.
The Bank further noted that the Ghana cedi was the best-performing currency in Africa for the first eight months of 2025.
Market Quotes
Checks by Joy Business revealed that some commercial banks are selling the U.S. dollar at GH¢12.30 for retail transactions.
On the interbank market, trading among banks saw the cedi quoted between GH¢11.95 and GH¢12.05.
The appreciation has also been reflected in the forex bureau market, where, as of October 12, 2025, rates ranged between GH¢13.20 and GH¢13.50 to the dollar.
Background
Earlier this month, the Governor of the Bank of Ghana, Dr. Johnson Asiama, announced that the central bank would begin foreign exchange (FX) intermediation under the Domestic Gold Purchase Programme from October 2025, with plans to sell up to $1.15 billion during the month.
These sales are being conducted on a spot basis through twice-weekly price-competitive auctions open to all licensed banks.
Dr Asiama explained that the initiative aims to deepen the interbank FX market, enhance price discovery, and smooth volatility — all while maintaining transparent, market-neutral operations.
He emphasised that the overarching goal remains to stabilise the exchange rate, ensure a level playing field, and support sustainable liquidity in the banking system.
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