The Governor of the Bank of Ghana (BoG), Dr. Johnson Pandit Asiama, has urged calm amidst recent marginal depreciation of the national currency, describing such movements as normal market behaviour.
Speaking at the 128th Monetary Policy Committee (MPC) press conference in Accra on Wednesday, Dr. Asiama addressed concerns about the cedi’s performance at the start of the year.
“Don’t get worried if you see the cedi moving a little bit, it is normal,” Dr. Asiama stated. “Speculative behaviour can move the cedi. It is more of a short-term kind of a factor, but it will fall in line.”
The Governor assured the public and markets that the central bank has announced a number of reforms aimed at ensuring stability.
Recent Data Shows Modest Depreciation
Fresh data from the Bank of Ghana’s Economic and Financial Data for January 2026 confirms the cedi has come under pressure against major global currencies. On the interbank market, the cedi traded at GH¢10.88 to the US dollar this month, a depreciation of about 4% from the GH¢10.45 rate at the end of December 2025.
The local currency also weakened against the British pound by 4.9% and against the euro by 4.1%. In the retail market, lingering demand pressures were observed, with the dollar trading between GH¢11.90 and GH¢12.15.
Analysts Point to Seasonal Factors
Financial analysts attribute the January depreciation to seasonal foreign exchange demand, portfolio adjustments typical at the start of the year, and the cedi’s sensitivity to global financial conditions. They note, however, that the scale of the decline remains modest, especially when contrasted with the currency’s exceptional performance in 2025.
Last year, the cedi staged a dramatic recovery, appreciating by about 43% against the dollar between May and December, supported by improved investor confidence and stronger foreign exchange inflows. It closed 2025 with a year-to-date gain of 40.7%.
Debt Dynamics Show Improvement
Beyond currency movements, the central bank’s report highlighted positive signals regarding Ghana’s public debt. As of November 2025, total public debt stood at GH¢644.6 billion, equivalent to 45.5% of Gross Domestic Product (GDP). The debt stock declined by approximately GH¢40 billion between September and November 2025, reflecting reduced borrowing and improved fiscal management.
In U.S. dollar terms, public debt eased to $57.2 billion, with external debt moderating to $29.3 billion, or 23.3% of GDP.
The Bank of Ghana’s overarching message remains one of cautious optimism, emphasizing that short-term currency fluctuations are to be expected within a broader context of economic stabilization and reform.
