The worldwide rating company Fitch Solutions predicts that the Ghanaian cedi will return to its upward trend very soon.
The rating agency predicted that the cedi would gain strength due to various factors, most notably the government’s progress in restructuring its commercial debt.
According to the rating agency, the advancements would likely raise investor confidence in Ghana’s economy and policymaking procedures, resulting in higher inflows of foreign money and a subsequent strengthening of the cedi in the second half of 2024.
According to Fitch Solutions, the Ghanaian cedi should conclude the year at USD 12.25 after recovering some of its recent losses in the upcoming months.
As per the rating agency, the currency has experienced an 11 percent depreciation versus the US dollar thus far this year, placing it in the bottom category of performing currencies worldwide.
It also mentioned that low import cover resulted from the depreciation and declining reserves.
