“Sometimes it’s deliberate to allow the cedi to depreciate a little” – Governor assures of control

Governor of the Bank of Ghana, Dr. Johnson Asiama, has assured businesses that the recent movements in the foreign exchange market are under control.

The cedi has, in the past few weeks, lost ground to the dollar as a result of some pressures from Christmas imports.

Speaking to capital market stakeholders on the floor of the Ghana Stock Exchange, the Governor urged businesses to be confident that the foreign exchange market is under control.

The local currency has recently come under pressure, depreciating to around 12 cedis per dollar at some forex bureaus, while the Bank of Ghana is selling at approximately 11.59 cedis as of Thursday.

The Governor says this is part of a strategy to keep the economy moving and, hence, there is no cause for alarm.

“Managing an economy, someday things might be challenging, but it doesn’t mean we lose control. Sometimes it’s okay to allow the system to adjust; sometimes it’s deliberate policy to allow the cedi to depreciate a little bit. It’s all within the strategy, so when you see those little movements, don’t be alarmed at all; we have it all under control,” he assures.

Meanwhile, on the issue of major economic growth, the Governor charged managers of the various sectors to ensure confidence in the system.

He appealed to the Central Securities Depository (CSD) to ensure transparent information on investment portfolios is provided to the investing public.

He believes the move will make the capital market more attractive to potential and young investors.