The Ghanaian cedi has opened the year 2026 on a weaker note, sliding by an average of about four per cent against major global currencies in the first weeks of January.
Figures from the Bank of Ghana’s January 2026 Summary of Economic and Financial Data show the cedi trading at GH¢10.88 to the US dollar on the interbank market, compared with GH¢10.45 at the end of December 2025. This reflects a depreciation of roughly four per cent over the period.
The local currency also fell against other key trading currencies. It dropped about 4.9 per cent against the British pound and 4.1 per cent against the euro, settling at GH¢14.77 to the pound and GH¢12.80 to the euro.
Foreign exchange market activity has been mixed in recent weeks. In the retail segment, persistent demand pressures pushed the cedi to around GH¢12.00 to the US dollar. Over the same period, the dollar firmed from GH¢11.90 to GH¢12.15, while the pound and euro advanced further, closing at approximately GH¢16.30 and GH¢14.20, respectively.
Market watchers attribute the January weakness to seasonal foreign exchange demand, portfolio adjustments at the start of the year, and the cedi’s vulnerability to global financial trends.
Despite the decline, analysts note that the scale of depreciation is relatively moderate compared with the strong gains recorded in 2025.
The Bank of Ghana has maintained a cautious policy posture and continues to monitor developments in the currency market. Attention is now on whether the early-year softness will fade in the coming months or signal a more prolonged correction following last year’s sharp appreciation.
The current downturn contrasts sharply with 2025, when the cedi staged a remarkable rebound. After initial losses in the first quarter, the currency rallied from April, appreciating by about 43 per cent against the dollar by May and ending the year with a cumulative gain of 40.7 per cent. That recovery was driven by improved investor confidence, stronger foreign exchange inflows, and tighter policy coordination.
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