The Bank of Ghana (BoG) has sold $20 million to Bulk Oil Distribution Companies (BDCs) at the exchange rate of GH¢15.6062 to US$1. This suggests that the exchange rate has appreciated by 0.8% since the last auction on August 13 where the BDCs were sold $20 million at GH¢15.7311.

The auction was carried out on August 28 with bids ranging from 15.2 to 15.76 cedis to the dollar. The sale is a forward contract that will be settled 30 days from the auction date. The total value of bids received was for $70.17 million, indicating a strong demand for the US dollar. The auction provides less than 10% of the monthly forex requirements for fuel imports to the country.

The BoG’s auctions for BDCs have increasingly been held at a rate close to the retail FX rate, reducing the opportunities for arbitrage. The Ghana cedi has depreciated by about 23% in 2024.