Cedi weakens slightly ahead of IMF programme review

The Ghana cedi has recorded a mild depreciation against major foreign currencies over the past two weeks as attention turns to the final phase of Ghana’s IMF programme review. Data from the interbank market showed the cedi weakened by 1.64 per cent against the US dollar to trade at GHS11.28/USD. It also declined by 2.46 per cent against the British pound to GHS15.36/GBP and by 2.15 per cent against the euro to GHS13.28/EUR. In the retail market, the local currency posted a more moderate performance. The cedi slipped by 0.84 per cent against the dollar to GHS11.83/USD and edged slightly lower against the pound from GHS15.78 to GHS15.80/GBP. However, it recorded a small gain against the euro, improving from GHS13.78 to GHS13.75/EUR. On a year-to-date basis, the cedi has depreciated by an average of 7.8 per cent as of May 8, 2026, compared to 2.5 per cent over the same period in 2025. According to Databank Research, the recent pressure on the cedi is largely in line with market expectations as Ghana’s sixth review under the IMF-supported programme approaches conclusion on May 15, 2026. The report attributed the development to continued import demand, cautious foreign exchange supply conditions and concerns surrounding the financial position of the Bank of Ghana. “Broadly in line with our forecast, the cedi suffered mild pressure ahead of the ongoing IMF sixth mission review,” the report stated. Despite the recent depreciation, Databank Research maintains that the outlook for the cedi remains relatively stable, supported by strong reserve buffers and the expected approval of a USD385 million disbursement under the IMF Extended Credit Facility programme. The report added that the anticipated inflows could improve foreign exchange support and help contain volatility in the near term. Databank Research expects the cedi to remain relatively stable within the GHS10.95 to GHS11.35 per dollar range over the next two weeks.