By Ashiadey Dotse
The Ghana cedi has strengthened significantly against the US dollar, easing the burden on importers, according to the latest report from the Bank of Ghana.
The Bank of Ghana’s Summary of Economic and Financial Data for July 2025 reveals that the cedi has appreciated by over 40% since the beginning of the year. The exchange rate, which stood at over GHS 15 earlier in the year, has dropped to GHS 10.45 as of July 2025.
This major appreciation of the cedi has helped reduce the cost of imports, bringing relief to businesses and consumers who rely on foreign goods.
The report also highlights other positive signs in the economy. Inflation is falling, with the year-on-year rate dropping to 13.7% in June 2025 from 23.5% at the beginning of the year. Both food and non-food inflation have declined, and June saw a rare monthly deflation of -1.2%.
Ghana’s trade position is improving as well. The country recorded a trade surplus of USD 5.6 billion by June 2025, boosted by strong performances in gold and cocoa exports. Gross international reserves reached USD 11.1 billion, enough to cover 4.8 months of imports.
Government finances have also shown progress. The national budget deficit reduced to 1.1% of GDP in June 2025, down from 5.2% in December 2024. Public debt has fallen sharply to 43.8% of GDP, compared to over 60% last year.
The banking sector remains strong and stable. The report shows that total bank assets have grown to GHS 384.3 billion, with deposits at GHS 280.1 billion. Non-performing loans have slightly declined, and the capital adequacy ratio now stands at a healthy 19.7%.
On the Ghana Stock Exchange, investor confidence appears to be rising. The GSE Composite Index climbed to 6,248.5 in June, with a 27.8% gain since the start of the year. Market capitalization has also increased to GHS 137.3 billion.
