Cedi / Dollar Performance

Cedi to Dollar Performance; what should investors expect

The Ghana cedi has lost 77.9 per cent of its value to the US dollar from July 1, 2007, when it was redominated to July 1, 2017. At the close of 2007, the dollar/ cedi exchange rate was GH¢0.9599 per the dollar compared to the present exchange rate of GH¢4.3640 per the dollar as at June 30, 2017. This is equivalent to a depreciation of 77.9 per cent over the period under review.

For the lay person, the cedi had depreciated by more than 300% (per cent) at face value. But economists and analysts are united that a currency cannot lose more than 100 per cent of its value unless it becomes garbage that you need to pay someone to haul away.

This drop in value was not part of the game plan 10 years ago when the cedi was redenominated by knocking off four zeros from the currency.

But today, the country appears to be enduring what it did not bargain for in that fiscal transaction in 2007, sharp depreciation of the Ghana cedi to the point of being once counted among the worst performing currencies in the world.

An excerpt from Bank of Ghana Monetary, explains that

·The cedi weakened against the US dollar as a result of high demand for foreign exchange. In the first quarter of 2012, the cedi depreciated by 8.3 per cent against the US dollar, compared to 2 per cent depreciation in the same period of 2011.The weakening of the local currency started in the last quarter of 2011 and was driven by several factors including the growing demand for foreign exchange to support increased economic activity due to the expansion of the economy.

· A second, more structural factor is the changing nature of the trade pattern which is gradually shifting towards Asia, especially China, for which transactions are mostly conducted on cash basis. The persistent depreciation of the cedi can have far reaching consequences on the inflation profile.

A third factor relates to external sector conditions, such as the euro zone crisis which have also instigated investor portfolio outflows from the bond market in the latter part of 2011. There are also the speculative activities by foreign exchange traders trying to profit from the depreciation of the currency while other market participants seek to hedge against further depreciation thereby exacerbating the situation.

The USD/GHS increased 0.0096 or 0.20% to 4.7700 on Friday July 13 from 4.7604 in the previous trading session. Historically, the Ghanaian Cedi reached an all time high of 4.82 in July of 2018 and a record low of 0.90 in July of 2007.

 

 

 Historical rates from January to July

7/12/2018Thursday4.77492 GHSUSD GHS rate for 7/12/2018
7/11/2018Wednesday4.77000 GHSUSD GHS rate for 7/11/2018
7/10/2018Tuesday4.80021 GHSUSD GHS rate for 7/10/2018
7/9/2018Monday4.80004 GHSUSD GHS rate for 7/9/2018
7/6/2018Friday4.81754 GHSUSD GHS rate for 7/6/2018
7/5/2018Thursday4.80165 GHSUSD GHS rate for 7/5/2018
7/4/2018Wednesday4.79893 GHSUSD GHS rate for 7/4/2018
7/3/2018Tuesday4.79000 GHSUSD GHS rate for 7/3/2018
7/2/2018Monday4.77959 GHSUSD GHS rate for 7/2/2018
7/1/2018Sunday4.79500 GHSUSD GHS rate for 7/1/2018
6/29/2018Friday4.78959 GHSUSD GHS rate for 6/29/2018
6/28/2018Thursday4.78269 GHSUSD GHS rate for 6/28/2018
6/27/2018Wednesday4.78308 GHSUSD GHS rate for 6/27/2018
6/26/2018Tuesday4.78072 GHSUSD GHS rate for 6/26/2018
6/25/2018Monday4.74313 GHSUSD GHS rate for 6/25/2018
6/24/2018Sunday4.78521 GHSUSD GHS rate for 6/24/2018
6/22/2018Friday4.78918 GHSUSD GHS rate for 6/22/2018
6/21/2018Thursday4.73990 GHSUSD GHS rate for 6/21/2018
6/20/2018Wednesday4.73978 GHSUSD GHS rate for 6/20/2018
6/19/2018Tuesday4.71047 GHSUSD GHS rate for 6/19/2018
6/18/2018Monday4.71000 GHSUSD GHS rate for 6/18/2018
6/17/2018Sunday4.71413 GHSUSD GHS rate for 6/17/2018
6/15/2018Friday4.70676 GHSUSD GHS rate for 6/15/2018
6/14/2018Thursday4.72295 GHSUSD GHS rate for 6/14/2018
6/13/2018Wednesday4.71190 GHSUSD GHS rate for 6/13/2018
6/12/2018Tuesday4.71070 GHSUSD GHS rate for 6/12/2018
6/11/2018Monday4.71774 GHSUSD GHS rate for 6/11/2018
6/10/2018Sunday4.69482 GHSUSD GHS rate for 6/10/2018
6/8/2018Friday4.73638 GHSUSD GHS rate for 6/8/2018
6/7/2018Thursday4.71988 GHSUSD GHS rate for 6/7/2018
6/6/2018Wednesday4.71040 GHSUSD GHS rate for 6/6/2018
6/5/2018Tuesday4.75291 GHSUSD GHS rate for 6/5/2018
6/4/2018Monday4.70130 GHSUSD GHS rate for 6/4/2018
6/3/2018Sunday4.75539 GHSUSD GHS rate for 6/3/2018
6/1/2018Friday4.69508 GHSUSD GHS rate for 6/1/2018
5/31/2018Thursday4.69696 GHSUSD GHS rate for 5/31/2018
5/30/2018Wednesday4.66756 GHSUSD GHS rate for 5/30/2018
5/29/2018Tuesday4.64420 GHSUSD GHS rate for 5/29/2018
5/28/2018Monday4.65880 GHSUSD GHS rate for 5/28/2018
5/27/2018Sunday4.63492 GHSUSD GHS rate for 5/27/2018
5/25/2018Friday4.63261 GHSUSD GHS rate for 5/25/2018
5/24/2018Thursday4.63518 GHSUSD GHS rate for 5/24/2018
5/23/2018Wednesday4.65480 GHSUSD GHS rate for 5/23/2018
5/22/2018Tuesday4.66019 GHSUSD GHS rate for 5/22/2018
5/21/2018Monday4.54514 GHSUSD GHS rate for 5/21/2018
5/20/2018Sunday4.53842 GHSUSD GHS rate for 5/20/2018
5/18/2018Friday4.52860 GHSUSD GHS rate for 5/18/2018
5/17/2018Thursday4.53497 GHSUSD GHS rate for 5/17/2018
5/16/2018Wednesday4.58710 GHSUSD GHS rate for 5/16/2018
5/15/2018Tuesday4.54538 GHSUSD GHS rate for 5/15/2018
5/14/2018Monday4.53846 GHSUSD GHS rate for 5/14/2018
5/13/2018Sunday4.52915 GHSUSD GHS rate for 5/13/2018
5/11/2018Friday4.52810 GHSUSD GHS rate for 5/11/2018
5/10/2018Thursday4.54046 GHSUSD GHS rate for 5/10/2018
5/9/2018Wednesday4.54038 GHSUSD GHS rate for 5/9/2018
5/8/2018Tuesday4.52048 GHSUSD GHS rate for 5/8/2018
5/7/2018Monday4.49925 GHSUSD GHS rate for 5/7/2018
5/6/2018Sunday4.49446 GHSUSD GHS rate for 5/6/2018
5/4/2018Friday4.49200 GHSUSD GHS rate for 5/4/2018
5/3/2018Thursday4.48502 GHSUSD GHS rate for 5/3/2018
5/2/2018Wednesday4.52076 GHSUSD GHS rate for 5/2/2018
5/1/2018Tuesday4.46631 GHSUSD GHS rate for 5/1/2018
4/30/2018Monday4.46546 GHSUSD GHS rate for 4/30/2018
4/29/2018Sunday4.47472 GHSUSD GHS rate for 4/29/2018
4/27/2018Friday4.46529 GHSUSD GHS rate for 4/27/2018
4/26/2018Thursday4.44491 GHSUSD GHS rate for 4/26/2018
4/25/2018Wednesday4.45160 GHSUSD GHS rate for 4/25/2018
4/24/2018Tuesday4.44524 GHSUSD GHS rate for 4/24/2018
4/23/2018Monday4.44604 GHSUSD GHS rate for 4/23/2018
4/22/2018Sunday4.45695 GHSUSD GHS rate for 4/22/2018
4/20/2018Friday4.43958 GHSUSD GHS rate for 4/20/2018
4/19/2018Thursday4.44423 GHSUSD GHS rate for 4/19/2018
4/18/2018Wednesday4.44000 GHSUSD GHS rate for 4/18/2018
4/17/2018Tuesday4.43407 GHSUSD GHS rate for 4/17/2018
4/16/2018Monday4.43282 GHSUSD GHS rate for 4/16/2018
4/15/2018Sunday4.45243 GHSUSD GHS rate for 4/15/2018
4/13/2018Friday4.44308 GHSUSD GHS rate for 4/13/2018
4/12/2018Thursday4.43464 GHSUSD GHS rate for 4/12/2018
4/11/2018Wednesday4.43023 GHSUSD GHS rate for 4/11/2018
4/10/2018Tuesday4.43525 GHSUSD GHS rate for 4/10/2018
4/9/2018Monday4.43174 GHSUSD GHS rate for 4/9/2018
4/8/2018Sunday4.46092 GHSUSD GHS rate for 4/8/2018
4/6/2018Friday4.44858 GHSUSD GHS rate for 4/6/2018
4/5/2018Thursday4.45458 GHSUSD GHS rate for 4/5/2018
4/4/2018Wednesday4.42322 GHSUSD GHS rate for 4/4/2018
4/3/2018Tuesday4.42000 GHSUSD GHS rate for 4/3/2018
4/2/2018Monday4.41500 GHSUSD GHS rate for 4/2/2018
4/1/2018Sunday4.43152 GHSUSD GHS rate for 4/1/2018
3/30/2018Friday4.42529 GHSUSD GHS rate for 3/30/2018
3/29/2018Thursday4.41866 GHSUSD GHS rate for 3/29/2018
3/28/2018Wednesday4.41650 GHSUSD GHS rate for 3/28/2018
3/27/2018Tuesday4.41600 GHSUSD GHS rate for 3/27/2018
3/26/2018Monday4.41498 GHSUSD GHS rate for 3/26/2018
3/25/2018Sunday4.40870 GHSUSD GHS rate for 3/25/2018
3/23/2018Friday4.41073 GHSUSD GHS rate for 3/23/2018
3/22/2018Thursday4.41966 GHSUSD GHS rate for 3/22/2018
3/21/2018Wednesday4.41545 GHSUSD GHS rate for 3/21/2018
3/20/2018Tuesday4.42430 GHSUSD GHS rate for 3/20/2018
3/19/2018Monday4.42491 GHSUSD GHS rate for 3/19/2018
3/18/2018Sunday4.42000 GHSUSD GHS rate for 3/18/2018
3/16/2018Friday4.42000 GHSUSD GHS rate for 3/16/2018
3/15/2018Thursday4.41782 GHSUSD GHS rate for 3/15/2018
3/14/2018Wednesday4.42020 GHSUSD GHS rate for 3/14/2018
3/13/2018Tuesday4.42293 GHSUSD GHS rate for 3/13/2018
3/12/2018Monday4.43250 GHSUSD GHS rate for 3/12/2018
3/11/2018Sunday4.43500 GHSUSD GHS rate for 3/11/2018
3/9/2018Friday4.43392 GHSUSD GHS rate for 3/9/2018
3/8/2018Thursday4.44768 GHSUSD GHS rate for 3/8/2018
3/7/2018Wednesday4.45072 GHSUSD GHS rate for 3/7/2018
3/6/2018Tuesday4.45143 GHSUSD GHS rate for 3/6/2018
3/5/2018Monday4.45464 GHSUSD GHS rate for 3/5/2018
3/4/2018Sunday4.44877 GHSUSD GHS rate for 3/4/2018
3/2/2018Friday4.45964 GHSUSD GHS rate for 3/2/2018
3/1/2018Thursday4.46642 GHSUSD GHS rate for 3/1/2018
2/28/2018Wednesday4.46057 GHSUSD GHS rate for 2/28/2018
2/27/2018Tuesday4.46500 GHSUSD GHS rate for 2/27/2018
2/26/2018Monday4.46073 GHSUSD GHS rate for 2/26/2018
2/25/2018Sunday4.46738 GHSUSD GHS rate for 2/25/2018
2/23/2018Friday4.46573 GHSUSD GHS rate for 2/23/2018
2/22/2018Thursday4.45969 GHSUSD GHS rate for 2/22/2018
2/21/2018Wednesday4.46536 GHSUSD GHS rate for 2/21/2018
2/20/2018Tuesday4.52405 GHSUSD GHS rate for 2/20/2018
2/19/2018Monday4.52374 GHSUSD GHS rate for 2/19/2018
2/18/2018Sunday4.47307 GHSUSD GHS rate for 2/18/2018
2/16/2018Friday4.47786 GHSUSD GHS rate for 2/16/2018
2/15/2018Thursday4.47695 GHSUSD GHS rate for 2/15/2018
2/14/2018Wednesday4.47163 GHSUSD GHS rate for 2/14/2018
2/13/2018Tuesday4.47750 GHSUSD GHS rate for 2/13/2018
2/12/2018Monday4.46500 GHSUSD GHS rate for 2/12/2018
2/11/2018Sunday4.44009 GHSUSD GHS rate for 2/11/2018
2/9/2018Friday4.44073 GHSUSD GHS rate for 2/9/2018
2/8/2018Thursday4.44065 GHSUSD GHS rate for 2/8/2018
2/7/2018Wednesday4.44286 GHSUSD GHS rate for 2/7/2018
2/6/2018Tuesday4.47536 GHSUSD GHS rate for 2/6/2018
2/5/2018Monday4.49844 GHSUSD GHS rate for 2/5/2018
2/4/2018Sunday4.50531 GHSUSD GHS rate for 2/4/2018
2/2/2018Friday4.49414 GHSUSD GHS rate for 2/2/2018
2/1/2018Thursday4.50892 GHSUSD GHS rate for 2/1/2018
1/31/2018Wednesday4.50000 GHSUSD GHS rate for 1/31/2018
1/30/2018Tuesday4.50051 GHSUSD GHS rate for 1/30/2018
1/29/2018Monday4.50894 GHSUSD GHS rate for 1/29/2018
1/28/2018Sunday4.53697 GHSUSD GHS rate for 1/28/2018
1/26/2018Friday4.53573 GHSUSD GHS rate for 1/26/2018
1/25/2018Thursday4.54972 GHSUSD GHS rate for 1/25/2018
1/24/2018Wednesday4.54537 GHSUSD GHS rate for 1/24/2018
1/23/2018Tuesday4.54493 GHSUSD GHS rate for 1/23/2018
1/22/2018Monday4.55250 GHSUSD GHS rate for 1/22/2018
1/21/2018Sunday4.53934 GHSUSD GHS rate for 1/21/2018
1/19/2018Friday4.55077 GHSUSD GHS rate for 1/19/2018
1/18/2018Thursday4.55304 GHSUSD GHS rate for 1/18/2018
1/17/2018Wednesday4.55681 GHSUSD GHS rate for 1/17/2018
1/16/2018Tuesday4.51697 GHSUSD GHS rate for 1/16/2018
1/15/2018Monday4.51152 GHSUSD GHS rate for 1/15/2018
1/14/2018Sunday4.55019 GHSUSD GHS rate for 1/14/2018

min = 4.4087 (March 25)
avg = 4.5473 
max = 4.8175 (July 6)

The table above displays historical exchange rates between the Ghanaian Cedi and the US Dollar. 

It is projected statistical to reach 4.85 as the peak or fall to 4.45 as the lowest at the end of the month.  With current reaction of virtually no change over the past 3 days is a good sign of good future prospects.