Dr. Asiama Clarifies Bank of Ghana's Approach to Cedi Stability
Dr. Johnson Asiama, the Governor of the Bank of Ghana (BoG), has refuted claims that the central bank is injecting substantial amounts of dollars into the market to stabilize the cedi. In an exclusive interview with JoyBusiness’ George Wiafe during the IMF/World Bank Spring Meetings in Washington D.C., he emphasized that the current stability of the cedi is not a result of selling reserves.
“The stability we are witnessing now has nothing to do with the fact that we are selling reserves,” Dr. Asiama stated. Instead, he highlighted that the BoG is focusing on enhancing inflows and implementing reforms in the foreign exchange market. “It’s the combination of these factors that is enhancing the cedi’s recent stability,” he explained.
Since December 2024, the cedi has shown remarkable resilience, even appreciating against the US dollar on certain trading days. As of April 2025, data from the Bank of Ghana indicated that the cedi had appreciated by 2.76% against the dollar, with commercial banks quoting rates around GH¢15.58, and some as low as GH¢14.38, reflecting renewed confidence in the currency.
Addressing concerns about potential exchange rate controls, Dr. Asiama firmly stated, “Whatever measures we are implementing will not lead to a fixed exchange rate for the Ghana cedi. We believe in allowing market forces to determine the rates.”
The Governor attributed the cedi’s recovery to a mix of macroeconomic improvements and global trends, including strong remittance inflows, increased export earnings from gold and cocoa, and coordinated fiscal and monetary policies that bolster economic confidence. Additionally, a weaker US dollar on the global stage has created favorable conditions for emerging market currencies like the cedi.
Dr. Asiama emphasized that the fiscal policies have been supportive of monetary measures, contributing to the current stability. As discussions about the sustainability of the cedi’s strength continue, it is clear that the Bank of Ghana is committed to fostering confidence through reforms rather than relying on reserve interventions.
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