Ghana could benefit from gold, cocoa export to support cedi - Absa report

The latest Absa Cedi Report was released in May 2025. It advises the government and the Bank of Ghana to build reserves. This should be supported by a healthy current account surplus. Such measures will help stabilize the cedi against external shocks.

The report is optimistic about Ghana's exports of gold and cocoa. These exports have helped the cedi appreciate from GH₵15.50 to GH₵12.40 per dollar.

“We believe export receipts will continue to benefit from supportive gold and cocoa prices,” it stated.

Ghana is well-positioned to benefit from gold export receipts. New mines are expected to come online soon, boosting production. The Cardinal-Namdini and Ahafo South mines will start production in 2025.

This situation could increase gold production significantly. Gold is not affected by U.S tariffs, which helps its market stability. “The yellow metal is exempt from the latest wave of US tariffs,” the report noted.

Heightened uncertainty in global trade has driven demand for safe-haven assets like gold. Recently, gold prices reached all-time highs of USD3,300 per barrel.

On cocoa, the report warned that bad weather could impact production negatively. Ivory Coast may be hit hardest by these conditions.

“Expectations indicate a smaller harvest in West Africa,” it said, particularly affecting Ivory Coast due to volatile weather.

However, rainfall levels have been consistent in Ghana this year. This consistency has led to a rebound in output after last year's poor crop yield.

“Given these developments, we expect the current account surplus to improve,” it predicted. The surplus may rise to 5.1% of GDP in 2025 from last year’s 4.3%.