The prices of goods are going to reduce soon to reflect Ghana cedis appreciation- Johnson Asiamah

Dr. Johnson Asiamah,the governor of the Bank of Ghana, declares that consumers can anticipate a gradual reduction in the prices of goods and services.This is as a results of the recent appreciation of the cedi which will soon begin to filter through the economy. 

At a press held under the Monetary Policy Committee (MPC) meeting on Friday, May 23, 2024, Dr. Asiama noted that while inflation dynamics typically lag exchange rate movements, the sustained strengthening of the local currency will ease import-related cost pressures in the coming months.

 “You can comprehend that some people stocked their goods at a higher exchange rate. So naturally, even with the appreciation – it takes a while for you to see that adjustment. However, rest assured that you will see the adjustment certainly so long as there is competition, so long as it is not a monopoly, and we will see that kind of phenomenon very soon.”he stated. 

The cedi has seen gains of nearly 24% year-to-date. He downplayed concerns that the local currency’s current rally could undermine Ghana’s export competitiveness adding that, the MPC carefully examined exchange rate dynamics and believes that the current gains do not pose a structural risk to the economy’s trade performance.

Retailers and importers are under pressure to reflect the improved performance of the cedi in their pricing decisions as part of broader efforts to consolidate macroeconomic stability.“Much as you want to have cedi stability in nominal terms, the important thing here is to ensure that in real terms, the cedi is not appreciating persistently.

We think that where we are now, we don’t have that problem of real appreciation that would adversely impact our competitiveness.”The local currency has surged to its strongest performance against its major trading currencies.This is an impressive turnaround from the sharp depreciation trends seen in recent years and marks an all-time high in percentage terms

Per the May 2025 Summary of Economic and Financial Data, the cedi is currently trading at around GH₵11.85 to the dollar – GH₵15.84 to the British Pound and GH₵ 13.34 to the Euro.It has appreciated by 24.1% against the US dollar, 16.2% against the British Pound and 14.1% against the Euro according to the latest data by the Bank of Ghana