Ghana’s cedi could weaken marginally in coming days on increasing corporate dollar demand without matching inflows, analysts have said.
The cedi, which has remained fairly stable in recent months, dipped last week on unmet greenback demand.
It was quoted at 3.9650 to the dollar at the close of last week, compared to 3.9475 a week before.
“Ghana cedi is likely to trend down further until end of the month when the government is expected to issue another 5-year (domestic) bond,” Barclays Bank Ghana currency dealer Jacob Brobbey said.
The naira is seen reversing some of its losses this week on expectations that the lifting of forex transaction ban on some commercial lenders by the central bank will boost dollar supply in the parallel market and prop up the value of the naira.
Nigeria’s central bank ended the suspension of eight lenders banned from the interbank currency market for failing to remit money owed to the government last Wednesday.
“We are hopeful that the lifting of the ban on some of the bank will raise dollar supply to the market in the coming days and we see the naira trading around 390-400 to the dollar in the near term,” Aminu Gwadabe president of bureaux de change association said.
The currency was quoted at 423 at the parallel market at the close of last week, compared with 402 a dollar the previous week. On the interbank market, the naira closed at 315 to the dollar, against 306 to the dollar at the beginning of the week.