With almost six months more to end the year, the cedi has been predicted to close the year at two cedis per dollar. That is according to a fresh report by the Standard Bank Group.
Africa�s biggest bank says rising imports and high demand for the local currency will further weaken the local currency. The Central Bank recently introduced certain measures including the re-introduction of 30, 60, 90 and 270 day Bank of Ghana Treasury bills to help stem the cedi from free fall.
And in the last few days, the local currency has maintained some relative stability against the US dollar as it posted some marginal gain on Tuesday.
However, it has depreciated by 14 percent to one cedi 91 pesewas since the year began, the second biggest-decline in Africa after Malawi�s kwacha.
Meanwhile, analysts are confident the 200 million cedis 5-year bond being issue by the Bank of Ghana will be oversubscribed. The Central Bank is issuing the debt instrument to pay maturing bonds as well as finance some infrastructural projects.
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