Bank of Ghana announces insertion of $800m into reserves in March for cedi’s stabilization
![Bank of Ghana announces insertion of $800m into reserves in March for cedi’s stabilization](https://devdiscourse.blob.core.windows.net/devnews/05_03_2019_19_57_54_7097371.jpg)
- Country:
- Ghana
The Bank of Ghana has made an announcement that it will pump out some USD 800 million to add in the country’s reserves in March to stabilise the cedi against major international currencies, especially the dollar. According to the market analysts, the cedi has depreciated and is currently trading at around GH¢5.45.
Stephen Opata, the Head of Financial Markets at the central bank said to the Daily Graphic that the accumulation of more dollars would help increase the net international reserve (NIR) to around USD 4 billion, enough to provide confidence in the system and help stabilise the free fall of the local currency. The data from the central bank reveals that cedi has lost some 3.6 percent of its value to the US dollar since January 2019 as the international investor community sold some of their investments in local securities and moved their funds overseas, partly causing the cedi to slide. He said one of the strategies to be adopted ‘is rebuilding reserves to face more systemic shocks that may come’.
“I am very optimistic that it will not be long before we see stability and some recovery in the cedi,” Stephen Opata further said. “In this first quarter, the movement in the cedi is not caused by external factors because the external sector has been quiet,” he further added.
On the other hand, President of Ghana, Nana Akufo-Addo has assured that his government is giving all its endeavours to arrest the decline of the cedi.
Also Read: Chinese investor to construct dialysis centers in Ghana, other West African nations soon
- READ MORE ON:
- Bank of Ghana
- Ghana
- cedi
- Ghana cedi
- Steven Opata
- Nana Akufo-Addo
ALSO READ
Narsinghanand's Blood-Cried Plea: A Call for Hindu Protection
IFC Partners with Mohinani Group to Launch PET Recycling Initiatives in Ghana and Nigeria
IMF and Ghana Deliberate on 2025 Budget Policies
Strengthening Ghana’s Fiscal Resilience and Economic Sustainability: A Path to Equitable Growth
IFC and LMI Holdings Partner to Develop Private-Led Solar Project in Ghana