No more over-the-counter dollar withdrawals – Adongo

Bank of Ghana (BoG) board member Isaac Adongo announced new restrictions. These will limit over-the-counter US dollar withdrawals from banks. This move aims to reduce the depreciation of the cedi.

Currently, regulations allow limited dollar withdrawals with justification. Soon, the central bank will enforce a near-total ban with few exceptions.

In an upcoming interview on PM Express, Adongo explained the changes. He said, “If you put your dollars in the bank account, it is okay.” However, you can only withdraw dollars for dollar-denominated transactions.

He emphasized that the Central Bank regulates legal tender usage. When you request dollars, you'll receive cedis instead.

Adongo believes this measure will improve exchange rates. The cedi has recently been recognized as the world's best-performing currency.

He stated, "You'll see results reflected in the dollar rate." The goal is to eliminate dollar speculation through bank accounts. Deposited dollars will only be released for legitimate foreign transactions.

The cedi's recovery has been remarkable. It remained stable at about GH₵15.50 to the US dollar from February to April 2025. In early May, it strengthened significantly to GH₵13.1—the strongest position in twelve months.

Analysts attribute this performance partly to Goldbod's agreement with nine mining companies. This deal secures 20% of their monthly gold production for domestic purchase before export.

Payments for this gold are made in cedis rather than dollars. Additionally, a dramatic increase in export revenues has helped strengthen the cedi.

Ghana recorded over $2.3 billion in gold exports during January-February 2025—the highest total in over ten years.

The strength of the cedi extends beyond just the US dollar. The pound fell to GHS17.45 from GHS20.60 since late April. The euro also dropped to GHS14.78 from GHS17.72 during this time.

The Canadian dollar decreased to GHS9.40 from GHS