Banks denied $84m in FX auction
The Central Bank failed to meet a $109m dollar demand by banks in its recent forex forward auction held on Tuesday, September 20, 2022.
This is despite the $750m recently received from the Afreximbank to support the country’s foreign reserves and help stabilise the local currency.
The Central Bank in the forex forward auction, only managed to provide for local banks some $25m.
In making the $25m available to banks, the Central Bank fell short of supplying some $84m to banks in the country.
Bids were made for the American dollar for the 7 day, 15 day, 30 day, 45 day, 60 day and 75 day tenors.
Total bids submitted for the 7 day tenor amounted to $55.25 million of which the Bank of Ghana (BoG) accepted $12 million.
For the 15 day, 30 day, 45 day and 60 day tenors, bids made totaled $30.75 million, $16.75 million and $4.75 million respectively.
The BoG, for the 15 day, 30 day and 45 day tenors accepted bids totaling $7.25 million, $4 million and $1 million respectively.
For the 60 day tenors, the Central Bank accepted bids to the tune of $750,000.
Bids made for the greenback ranged from GHS 9.6 to GHS 10.2 for a dollar, accepted bids for a dollar by the Central Bank ranges from GHS 9.8 to GHS 9.9.
Meanwhile, the Central Bank has set aside some $420m to be used in forex auctions for the fourth quarter.
This is per the Central Bank’s fourth quarter Auction Target Calendar for Multiple-Price Foreign Exchange Forward Auction.
According to the Bank of Ghana, the said amount is going to be sold at the Foreign Exchange Forward Auction in accordance to its auction guidelines.
