The Dollar to Cedi Exchange Rates quoted by banks today showed a marginal upward increase in the rate for the dollar against the Cedi in some banks. Banks such as UBA, and Standard Chartered. Fidelity Bank, Zenith Bank, and ABSA Bank all quoted rates higher than those quoted at the end of business on Friday 15th September 2023.
With Christmas and New Year festivities barely three months away, the Dollar is expected to appreciate against the cedi when demand for the dollar picks up in the coming months.
The Dollar to Cedi exchange rate has been projected to cross the GHS12.00 mark before the end of the year. Those who have dollars today are more likely to hord them until the festive season.
Reasons why the dollar-to-cedi exchange rate may go up during Christmas and New Year or in the last quarter of the year
- Increased demand for foreign currency. During the holiday season, there is an increased demand for foreign currency from Ghanaians who are traveling abroad or sending money to relatives and friends abroad. This increased demand can drive up the price of the dollar.
- Reduced supply of foreign currency. In the last quarter of the year, the supply of foreign currency from exports may decline due to the seasonal nature of some of Ghana’s major exports, such as cocoa and gold. This reduced supply can also drive up the price of the dollar.
- Speculation. Currency traders may speculate that the dollar will appreciate against the cedi in the last quarter of the year due to the factors mentioned above. This speculation can lead to an increase in the demand for dollars, which can further drive up the exchange rate.
In addition to these factors, the general economic outlook of Ghana can also play a role in the movements of the dollar to cedi exchange rate.
If the Ghanaian economy is doing well and there is a lot of confidence in the cedi, the exchange rate is likely to remain stable or even appreciate.
However, if the economy is struggling and there is a loss of confidence in the cedi, the exchange rate is likely to depreciate.
It is important to note that the dollar-to-cedi exchange rate is constantly fluctuating, and it is impossible to predict with certainty whether it will go up or down in the future. However, the factors mentioned above can help to explain why the exchange rate may go up during Christmas and New Year or in the last quarter of the year.
Dollar to Cedi Exchange Rates For Monday 18th September, 2023
|Bank Of Ghana|