President John Mahama has dismissed projections that the Ghana cedi could appreciate sharply to as low as GH¢4 against the US dollar, warning that such an outcome would be harmful to the country's export-driven sectors.
Instead, he has suggested a more balanced exchange rate band of GH¢10 to GH¢12 as the most realistic and sustainable for Ghana's economy. "The cedi falling to GH¢4 may sound good to some, but let's be honest-it would destroy our export industry," the President told members of the Federation of Association of Ghanaian Exporters (FAGE) during a stakeholder engagement. "We know that's not the true value." He explained that discussions with the Finance Minister and the Governor of the Bank of Ghana have led to a consensus that the cedi's fair value lies in the GH¢10 to GH¢12 range.
According to Mahama, this rate offers a stable environment for both exporters and importers without undercutting the competitiveness of locally produced goods.
Recent forex auctions, which have pushed the cedi above GH¢10 to the dollar, were cited as indicators of an emerging equilibrium. "That's where we see it settling-and we believe it gives our exporters a fair chance," Mahama added.
