The Ghana cedi has staged a strong recovery against the US dollar, recording four consecutive days of gains. This period of appreciation occurred between Tuesday, August 11, and Friday, August 14, 2026. The local currency's value significantly improved, with Bloomberg quoting the dollar at about GHS 10.96.
This recovery follows sustained pressure on the cedi from last month into early August. Commercial banks were previously selling the dollar for more than GHS 12.00. The current rates represent a sharp improvement from those earlier figures. Improved dollar supply and easing demand from businesses are key factors driving this turnaround.
This development fits into Ghana's broader economic narrative of managing currency stability amid global and domestic pressures. The Bank of Ghana's interventions are crucial for maintaining market confidence and supporting economic planning. The central bank has consistently pointed to the country’s strong reserve position as evidence of its ability to intervene. Ghana’s reserves stood at US$12.9 billion at the end of June 2026.
JOYBUSINESS understands that the Bank of Ghana's interventions have been a major support for the recent gains. Inflows from the extractive sector and offshore investors buying local bonds also contributed. For example, on Tuesday, August 11, the Bank of Ghana offered US$125 million to commercial banks. However, bids received totalled only US$85 million, indicating reduced demand. A similar trend occurred on Thursday, August 13, where the central bank offered US$125 million, but bids reached only US$94 million.
The Bank of Ghana has sold more than US$8 billion into the foreign exchange market between January and July 2026. This action aims to improve liquidity, meet demand, and support the cedi. The central bank sold about US$7.45 billion through its FX Intermediation Programme. It also deployed about US$811 million through its FX Intervention Programme during the same period. This brings total market support to over US$8.2 billion so far this year. This figure could approach US$9.2 billion by the end of August if the Bank proceeds with plans to sell up to US$1 billion this month.
Some banks expect the cedi’s recent gains to continue in the coming weeks. They cite improved foreign exchange inflows and easing demand from businesses as key factors. Donor inflows have also supported the market, with additional inflows expected soon. These inflows could further strengthen Ghana’s reserves, providing more stability. The Bank of Ghana has assured businesses that there is no need to panic during temporary cedi pressures.
The central bank's proactive measures align with its Exchange Rate Management Framework. This framework guides its actions to ensure currency stability. The continued strengthening of the cedi would positively impact import costs and inflation. Businesses and consumers will closely watch the cedi’s performance. The Bank of Ghana's commitment to market intervention remains a critical element for the cedi's outlook. Future auctions and foreign exchange inflows will be key indicators of sustained recovery.