Ghana’s Cedi exchange rate: Navigating the Impact of the Cedi’s appreciation

As of Sunday , May 11, 2025, a Dollar to Ghana’s  local currency, the Cedi is GHS13.14. This shows how the cedi is appreciating marginally against the dollar.

As per the latest update, the Central Bank highlighted that the cedi is trading at a buying price of GH¢13.09 and a selling price of GH¢13.10 to a dollar.

The British pound is  being traded at a buying price of GH¢17.42 and a selling price of GH¢17.44, but the euro is valued at a buying price of GH¢14.74 and a selling price of GH¢14.75

Again the cedi is trading at GH¢13.40 to the dollar, but the pound is trading at GH¢18.50 at some notable forex bureaus within the country. In addition, the euro is trading at GH¢18.00 on the retail market.

Moreover, the Ghana cedi has been named the world’s best-performing currency this month, after the significant appreciation of 16 per cent against the US dollar since the start of April 2025 per Bloomberg.  The currency’s strength has alleviated inflation concerns, contributing to Ghana’s lowest inflation rate in eight months.

Impact on Government

The government as the largest and main participant in the economy remain positively impacted by the cedi appreciation. The government is will benefit from a reduced debt servicing costs on its external debt, which can lead to savings in the budget. It will boost investor confidence as well by attracting more foreign investment and promoting economic growth.
Again, the strong and appreciating cedi can contribute to overall economic stability, reducing the risk of currency fluctuations and associated economic shocks.

Impact on Entrepreneurs and SMEs

Small and medium sized enterprises (SMEs) are obviously the backbone of Ghana’s economy accounting for 70% of the employment and 92% of registered business but in January 2025.

The stronger cedi will increase the  purchasing power of entrepreneurs and SMEs, where they can purchase more goods at a lower cost both locally and internationally, with the same amount of money. This can boost economic activity and improve living standards.

Impact on citizens and consumers

As traders save on exchange rates, they may review prices of goods and services downward, benefiting consumers. This can lead to increased economic activity and competitiveness. Speaker Alban Bagbin noted that, this trend is expected to lead to lower prices for goods and services, making them more affordable for citizens. This is going to decrease the cost of living as well on citizens.

Dr Cassiel Ato Forson, the Minister for Finance, gave assurance to the public that the recent appreciation of the cedi is not a short-term event but the result of strategic economic leadership.

In his speech during a meeting with the leadership of the Food and Beverage Association of Ghana (FABAG), Dr Forson reiterated the government’s dedication to maintaining currency stability.

READ: Finance Minister confirms Cedi’s recent gains are long-term