Fresh Bank of Ghana data for January 2026 shows the cedi facing renewed pressure, depreciating against major global currencies right at the year’s start.
On the interbank market, the cedi traded at GH¢10.88 to the US dollar, up from GH¢10.45 at the end of December 2025—a 4% loss. It also weakened 4.9% against the British pound (to GH¢14.77) and 4.1% against the euro (to GH¢12.80).
Performance varied across forex segments in the past two weeks. In the retail market, the cedi hit GH¢12.00 to the dollar amid ongoing demand. The dollar ranged narrowly from GH¢11.90 to GH¢12.15 against the cedi, while the pound and euro gained to GH¢16.30 and GH¢14.20, respectively.
Analysts attribute the drop to seasonal forex demand, year-start portfolio shifts, and the cedi’s vulnerability to global conditions. Still, the decline looks mild compared to 2025’s strong gains.
This contrasts sharply with last year: after a 3.9% January drop and further losses into March, the cedi rebounded dramatically from April. By May, it had appreciated 43% year-to-date against the dollar, fueled by investor confidence, forex inflows, and policy tweaks. It ended 2025 up 40.7% overall.
The Bank of Ghana data also highlights stabilizing debt. Public debt fell to GH¢644.6 billion (45.5% of GDP) by November 2025, down GH¢40 billion from September due to less borrowing and better cash management. In dollars, it eased to US$57.2 billion, with external debt at US$29.3 billion (23.3% of GDP)—shifts driven more by valuation than new debt.
Story by: Mercy Addai Turkson #ahotoronline.com