Demand for US dollars dipped marginally, according to the latest auction of the American ‘greenback’ by the Bank of Ghana.
The data from the Central Bank indicates that demand outstripped supply by $82.75 million.
This is compared with $84.5 million recorded two weeks ago and $105.25 million a month past.
According to the result of the sale of dollars through the Forex Forward Rates Auction to dealers, the Bank of Ghana was only able to supply $25 million to the dealers, largely the banks.
However, the bids submitted for the purchase of the American ‘greenback’ was estimated at $107.75 million, lower than $109.5 million recorded a fortnight ago (August 23, 2022).
Per the results, the high demand for the US dollars appears to be falling but marginally. If the trend continues, coupled with the expected $1.5 billion cocoa syndicated loan and the economic programme from the International Monetary Fund, then the cedi might regain some marginal strength against the American currency.
$54.25 million of the 7-day tenor was the highest bid by the dealers, followed by $32.75 million for the 15-day tenor.
The 30-day tenor received bids worth $16.25 million, whilst the 45-day tenor received bids amounting to $3.5 million.
The 60-day tenor also received bids, amounting to $1.0 million.
There were however no bids for the 75-days tenor.
The highest number of bids submitted by the dealers was for the 7-day bill in which 64 bids were made, but only 11 bids were accepted
The least was the 60-day bill whereby only one bid was submitted.
Cedi depreciation risks persist despite improved performance
Meanwhile, Databank Research says despite an improved performance of the cedi to the dollar last week, depreciation risks persist.
According to the Weekly Currency Report by Databank Research, demand pressures exist.