Cedi expected to be biggest beneficiary from smooth elections

The peaceful and smooth conduct of the 2024 general elections in Ghana has sparked optimism about the performance of the Ghanaian cedi.

Following former President John Mahama's victory, with 56.55% of the vote, and Vice President Dr. Mahamudu Bawumia's concession of defeat, expectations for the cedi are positive.

Before the elections, there were concerns that political uncertainty could lead to the depreciation of the cedi, but the peaceful outcome has alleviated these fears.

The Bank of Ghana had assured that it had sufficient dollar reserves to stabilize the cedi, and the smooth transition is seen as a positive signal for investors and donor partners, reinforcing confidence in Ghana's stable democracy.

As of December 10, 2024, the cedi is trading at GH₵16.20 for the US dollar at some forex bureaus, GH₵17.00 for the Euro, and GH₵20.20 for the British Pound.

Commercial banks are selling the dollar at GH₵14.80. With the political climate stabilizing, analysts predict the cedi could appreciate in the coming days.