At the time of writing this post, the exchange rate was $1 to GH₵5.9150 according to Bloomberg. This represents a 20% depreciation year-to-date. The last time we had this kind of depreciation was in 2014 when the currency depreciated about 30%.

In March this year, I wrote a post about the reasons why the cedi was depreciating so rapidly. Those issues have not been resolved. The last few months in which the cedi had recovered was due to forex inflows from the issue of the eurobond and the receipt of syndicated financing for the purchase of cocoa from farmers.

The political leadership over the years have preferred to use the exchange rate for political points instead of calling for an honest national dialogue on the underlying issues. We are getting to the point where we can no longer avoid such dialogue.