BoG increases dollar supply onto the market

The Bank of Ghana has started increasing the amount of dollars it supplies onto the market.

Joy Business has gathered that the regulator on Thursday – August 27 – supplied about 30 million dollars onto the market.

This represents 20 million Ghana cedis more than the about the 10 million dollars that it was supplying the market over the past few days.

According some bank treasures that Joy Business spoke to, the development over the past two days have impacted forex rates.

Standard Chartered Bank, for instance, is selling a dollar for about 4 Ghana cedis 15 pesewas, compared to the initial quote of 4 Ghana cedis 30 pesewas.

Sources say the development has seen the speculators reacting as some have started selling their dollars.

If the current challenge facing the cedi is more of supply, then the move could help stabilize the local currency.

The Bank of Ghana says it is expecting the Ghana cedi to stabilize by next month. The central bank’s expectation is based on some four billion dollars it is expecting from the EUROBOND, Cocoa loan syndication and donor inflows.

Joy Business is even learning that the regulator is looking at increasing supplies if it is needed and to help control and sustain the marginal decline.