The Chief Executive Officer of Dalex Finance, Joe Jackson, has stated that the Ghana cedi trading at 12 cedi is more sustainable than 10 cedi.
Joe Jackson asserted that the recent movements in the Ghana cedi to strategic interventions were attributed to the Bank of Ghana intervening in the market.
According to him, following the Central Bank declaration, it will not intervene in the market, and the cedi began to depreciate from 10, 11 to 12.
On Channel One TV, Joe Jackson detailed the cedi’s trajectory over the past six months under President John Dramani Mahama.
He explained, “Indeed, when you look at what happened, the central bank was intervening in the market. So long as the Central Bank was intervening, the rates were around 10, 11. Then the Central Bank announced that it won’t intervene anymore. And as soon as it announced that it won’t intervene, what happened? The rate shot up from 10, 11 to 12 plus”.
Mr Jackson emphasised that the 12 cedis per dollar is a “far more defensible position” for the Central Bank than the earlier 10.5 rate.
He asserted that the 10.5 rate, which initially felt good and bullish, reflected an over-valued cedi that could pose long-term challenges.
Joe Jackson added, “But it is my opinion that the rate of 12 plus is a far more defensible position for the Central Bank than 10.5. And that the 10.5, even though it had a really feel-good factor and everybody became bullish, over time, because of how much the cedi was over-valued, would have brought us challenges,” Jackson added.
Also, Financial analyst, Toma Imihere, has said Ghana’s exchange rate stability is a combination of gold trade, fiscal discipline, and market confidence.
Toma Imihere argued that the present exchange rate figures reflect the market more accurately.
Speaking on the Point of View on Monday, September 8, 2025, he stated, “To some extent, I feel that the gold has an effect on the exchange rate. It is not like they reinvented the wheel, but going for gold is the right thing to do,” he stated.
“Fiscal discipline does have a major effect on the exchange rate. This one, you must give it to this government because they are more disciplined fiscally than the previous government. So, that has had some effect on the exchange rate,” he said.
Mr Imihere explained that confidence in the market plays a role, as businesses and individuals are less likely to hoard dollars, which helps reduce pressure on the cedi.
He added, “When we criticised the Bank of Ghana for intervention, for a period, the interventions were useful but not sustainable. They helped to create confidence but not to push the exchange rate down. When there is confidence, people will not resort to hoarding the dollar,” he noted.
“The figure we have now for the exchange rate is more realistic,” he emphasised.
The Ghana cedi has come under pressure in August and continues to face pressure in September due to what some market players describe as a limited supply of dollars on the market.
The cedi has moved from 10 cedis 40 pesewas to a dollar to over 12 cedis.
However, Dr Johnson Asiama, the governor of the Bank of Ghana (BoG), has said the current depreciation of the cedi is just a short-term blip and assured that the situation will normalise soon.
Dr Johnson Asiama, in an interview with JOY BUSINESS, stated, “The Bank of Ghana operates a managed floating system in terms of framework; therefore, these blips will happen, but the assurance is that this is a short-term issue and the challenges are being addressed.”
He further added that the Central Bank has adequate reserves to support the market.
The BoG governor added, “Let me be clear, we are not running out of dollars, adding that the gap between market rates and official rates are being driven by bad market practices”.
“We have also taken measures to ensure that liquidity improves in the market, together with getting the interbank market to function adequately,” Dr Asiama stated.
Dr Johnson Asiama further detailed, “The interbank market is supposed to take care of itself in terms of inflows from trade and remittance. Offshoring Foreign Exchange instead of bringing it home, and we have identified these loopholes and are shutting them down”
“Some payment service providers have experimented with crypto and offshore settlement models. While innovation is welcomed, such practices must not weaken the cedi, and we will move to regulate these activities within the law,” the governor has affirmed.
Dr Johnson Asiama revealed current macroeconomic situation is sound and solid, which should impact on the cedi’s fortunes going forward.
The Governor added, “We should remember that Ghana is under an IMF programme, and we are watching our reserves carefully, especially when it comes to our market interventions.”
“So we can be assured that as far as the IMF programme is concerned and Ghana reserves, we are okay,” Dr Asiama established.