For nine months this year, the cedi has lost 40.05% in value to the US dollar, according to data from Bloomberg.
This makes the cedi the second-worst performing currency in the world.
The cedi is ranked as the worst among the 30 top-performing currencies on the African continent.
In July, August and September the cedi lost almost 21% in value to the US dollar, pounds sterling and Euro.
The cedi’s woes come on the back of high debts and low investor confidence which has made it impossible for Ghana to access the international capital market for borrowing.
To this end, Ghana is seeking some $3 billion from the IMF to support its economic programmes.
The government says the IMF support is to help the country recover from challenges caused by external factors such as the covid pandemic and the Russia-Ukraine war.
Bank of Ghana interventions to stabilise the cedi:
1. Once disbursed, the recently approved USD750,000,000 Afriexim loan facility by Parliament, is expected to boost Ghana’s forex position.
2. The Cocoa Loan is expected in the last quarter of the year. This facility will also help provide more foreign currency to help address the cedi depreciation.
3. Gold Purchase Programme to increase foreign exchange reserves.
4. Special Foreign Exchange Auction for the Bulk Distribution Companies (BDCs) to help with the importation of petroleum products.
5. Bank of Ghana is entering into a cooperation agreement with the mining companies to provide BOG with the opportunity to buy gold as when it becomes available.
6. The Bank of Ghana is supporting the banking sector with foreign currency liquidity to help meet the demand for external payments.
7. The IMF programme once finalised, will also go a long way to help restore confidence in the economy and drive portfolio flows. These measures will go a long way to increase the foreign exchange reserve position of the Central Bank.
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Dan, the fulani man will have no option than to go and beg for cow milk to fees his family if all the thousand cattle are sick and their milk infected. Again, if the thousand cattle are not cable of producing milk the fulani man will have to go beg. In your long essay did you consider the global economic crisis from covid to date??? Ghanaians go to work at 10 am and close 2 pm. Is this how we build a nation??? Low productivity and performance but Ghanaian workers are the highest requestors of pay rise. Leadership is also a problem. But it all rises and falls on all of us. Not only the political class.
Serious, so where is the ' what a solid team ' ? Professor Djan Bafuor, Dr Anthony Akoto Osei, Dr Owusu Afriyie Akoto, Hon Allan Kyeremantin, Boakye Agyarko, snr minister Yaw Osafo Marfo, what a solid team. For a county's currently to fall 40% within a matter of months creates the impression that nobody is in control. Free for all fall? Ghana is in trouble. A naturally endowed country unfortunately no visionary leader to make life comfortable for its people. God has given this country all it needs to be a first class country by all standards. A country that can boast of cocoa, timber, gold, bauxite, manganese, crude oil, sand, gravel, rocks, two giant harbours, a youthful population, the sea and yet still 65 years after independence it's still relying on handouts from others, even with that you can't see the head and tail to know the directon it's going. Some people called politicians when in opposition claims to have the magic to turn the fortunes of the country around, you trust them and give them power and they behave as if they have never sat in the four walls of a classroom. The least opportunity any one gets he/she is looking for ways to loot for himself and family, the others should remain poor. So who else can save this country? Have you ever seen a Fulani man with thousands of cattle going to beg for cow milk to feed his family? Ghana is becoming a pale shadow of itself.