The Governor of the Bank of Ghana, Dr. Johnson Asiama, has pledged decisive measures to stabilize the cedi and reduce exchange rate volatility, describing currency fluctuations as a key economic challenge requiring urgent attention.
Dr. Asiama said the central bank would implement a series of reforms to strengthen the foreign exchange market, improve liquidity, and curb speculation, which has contributed to the periodic depreciation of the cedi.
“The days of currency speculation and exchange rate instability must come to an end, and we are poised to ensure this happens,” he stated.
Among the measures outlined, the Bank of Ghana plans to enact a new foreign exchange law to replace the existing Foreign Exchange Act 2006 (Act 723), introduce structured pricing mechanisms, and enhance forex reserves management. The governor also emphasized leveraging Ghana’s gold reserves and strategic foreign assets to support the cedi while deepening participation in the Pan-African Payment and Settlement System (PAPSS) to facilitate regional trade in local currencies rather than relying on the US dollar.
In addition, reforms will be introduced in the remittance sector in collaboration with fintech firms and money transfer operators to maximize forex inflows.
Dr. Asiama expressed confidence that these interventions would enhance stability in the foreign exchange market, restore investor confidence, and support economic growth.
Ghana’s currency has faced persistent depreciation pressures, largely driven by external shocks, high import demand, and structural weaknesses in the economy. The central bank’s latest commitment signals a renewed effort to address these challenges and ensure a more predictable exchange rate environment.
