Cedi Appreciation Against Dollar To Continue Into Next Year - BoG

The Bank of Ghana is optimistic that the Cedi will continue its marginal appreciation against the US Dollar into next year. The Cedi has since August stabilized against the US Dollar and has even begun appreciating in value. Acting Governor of the Bank of Ghana, Henry Kofi Wampah in an interview with XYZ Businews said policies put in place by the Central Bank have helped cushioned the cedi. The Central Bank in June introduced measures such as short-dated instruments apart from Government of Ghana�s treasury bills and a mandatory nine percent of commercial banks total domestic and foreign deposits in cedis only. Dr. Wampah said that the Central Bank has done a good work so far and added that the Central Bank will keep monitoring the situation of the local currency and make adjustments when necessary. Meanwhile, the Central Bank will today receive the 1.4 billion cedis of the three-year bonds auctioned last Thursday. According to the regulator of the banking industry, the massive over-subscription of the three-year bond is a clear indication of a good management of the economy. The three-year government bond was massively oversubscribed by 150 percent at a yield of 21 percent. Foreign participation of the accepted bond was 800 million cedis.