The Monetary Policy Committee (MPC) of the Bank of Ghana (BoG) has said that the cedi's rebound observed recently should continue with the dissipation of election-related uncertainties and the improved foreign exchange buffers accumulated by the central bank.
The Committee said that a combination of economic uncertainty brought about by the upcoming elections and the high demand for foreign exchange has led to an exchange rate path that is slightly deviated from the fundamentals.
With strong macroeconomic policy implementation and improved foreign exchange availability, the economy should observe a realignment of the trajectory of the exchange rate with the fundamentals.
The MPC said this in a statement on Friday, November 29 after the 121st sitting.