Source: newsthemegh.com
The worldwide rating agency Fitch Solutions has expressed optimism for Ghana’s economy and predicted that the cedi will strengthen and soon appreciate.
The rating agency listed a number of factors, chief among them the government’s progress in restructuring its commercial debt, that will help the cedi recover.
According to Fitch Solutions, these developments will provide investors more faith in Ghana’s economy and policymaking procedures, which should boost foreign exchange inflows and strengthen the cedi in the second half of 2024.
In addition, Fitch Solutions projects that the Ghanaian cedi would recover a portion of its recent losses in the next months, closing the year at USD 12.25.
This forecast is made in light of the cedi’s 11% decline in value relative to the US dollar thus far this year, placing it among the worst-performing currencies worldwide.
The rating agency also pointed out that the low import cover was caused by deteriorating reserves in addition to the depreciation.
Fitch Solutions, however, is hopeful that the advancements in debt restructuring would assist in resolving these issues and open the door for the cedi’s rebound.
All things considered, the evaluation from Fitch Solutions offers some optimism for Ghana’s economy as it attempts to overcome the continuous obstacles in its path.