The Ghanaian cedi has experienced a massive decline against the US dollar, according to the latest exchange rates published by the Bank of Ghana.
The official interbank rates for Tuesday show the cedi trading at ₵10.9745 for buying and ₵10.9855 for selling against one US dollar. This represents a significant depreciation of the local currency and marks a continuing trend of weakening that has affected the Ghanaian economy.
The British pound and euro have also strengthened considerably against the cedi. The pound now exchanges at ₵14.4545 for buying and ₵14.4701 for selling. Meanwhile, the euro trades at ₵12.7285 for buying and ₵12.7411 for selling.
The sharp depreciation of the cedi has serious implications for the Ghanaian economy. Imported goods are becoming increasingly expensive for consumers and businesses. Fuel prices are expected to rise further, which will likely push up transportation costs across the country.
Ordinary Ghanaians are feeling the pressure as the cost of living continues to climb. Many households are struggling to afford basic necessities as prices surge. Businesses that rely on imported raw materials are also facing challenges in maintaining their operations.
Economic experts attribute the cedi’s fall to several factors. These include persistent inflation, a widening trade deficit, and declining foreign exchange reserves. The high demand for dollars in the market has also put additional pressure on the local currency.
The Bank of Ghana has previously implemented various measures to stabilize the cedi. These include monetary policy adjustments and interventions in the foreign exchange market. However, the currency continues to face headwinds from both domestic and global economic conditions.
Economists are calling for comprehensive economic reforms to address the underlying challenges facing the cedi. They emphasize the need for increased export earnings, improved fiscal discipline, and measures to boost investor confidence in the Ghanaian economy.
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