Cedi Strength Outlook Brightens as Market Support Grows

The Ghanaian cedi continues to gain ground and is expected to strengthen further this week. Strong remittance inflows and consistent central bank intervention are fueling this positive trend, according to a new Reuters report.

The cedi’s strong performance stands in contrast to the Kenyan shilling and Nigerian naira, which are projected to remain relatively stable. Meanwhile, Uganda’s shilling may also firm slightly.

Ghana

In 2025, the cedi has surged over 40% against the U.S. dollar—outperforming all other African and emerging market currencies.

Data from the London Stock Exchange Group (LSEG) shows the cedi trading at GHS10.25 per dollar as of Thursday, up from GHS11.55 just a week earlier.

Sedem Dornoo, a senior trader at Absa Bank Ghana, said the currency had held firm for most of the previous week.

“We’ve seen some increased demand for hard currency from offshore investors taking profits,” Dornoo said. “However, with the central bank providing steady support, we expect the cedi to hold around current levels before rallying again.

Kenya

Kenya’s shilling is expected to remain stable. On Thursday, it traded at 129.00/50 per dollar, almost unchanged from 128.95/129.45 the week before. Traders anticipate minimal movement in the coming days.

Nigeria

Nigeria’s naira is likely to stay within its current range, despite pressure from import-related demand. On Thursday, it traded around ₦1,587 per dollar, similar to last week’s rate of ₦1,586.

On the street market, the naira hovered near ₦1,635 per dollar.

“We expect the naira to trade between ₦1,580 and ₦1,590,” a trader noted. “Dollar sales by the central bank and investor inflows should help stabilize the market, although some volatility may persist.”

Uganda

The Ugandan shilling is expected to firm slightly due to inflows from the latest Treasury bond auction. At 08:11 GMT, commercial banks quoted the currency at UGX 3,627/3,637, up from UGX 3,645/3,655 last week.