• Login
NORVANREPORTS.COM |  Business News, Insurance, Taxation, Oil & Gas, Maritime News, Ghana, Africa, World
  • Home
  • News
    • General
    • Political
  • Economy
  • Business
    • Agribusiness
    • Aviation
    • Banking & Finance
    • Energy
    • Insurance
    • Manufacturing
    • Markets
    • Maritime
    • Real Estate
    • Tourism
    • Transport
  • Technology
    • Telecom
    • Cyber-security
    • Cryptocurrency
    • Tech-guide
    • Social Media
  • Features
    • Interviews
    • Opinions
  • Reports
    • Banking/Finance
    • Insurance
    • Budgets
    • GDP
    • Inflation
    • Central Bank
    • Sec/Gse
  • Lifestyle
    • Sports
    • Entertainment
    • Travel
    • Environment
    • Weather
  • NRTV
    • Audio
    • Video
No Result
View All Result
No Result
View All Result
NORVANREPORTS.COM |  Business News, Insurance, Taxation, Oil & Gas, Maritime News, Ghana, Africa, World
No Result
View All Result
Home Business

Forex Demand Decline Among GUTA Members as Confidence in Cedi Surges

4 months ago
in Business, Features, highlights, Home, home-news, latest News, Markets
2 min read
0 0
0
99
VIEWS
Share on FacebookShare on TwitterShare on Linkedin

Forex Demand Decline Among GUTA Members as Confidence in Cedi Surges

The Ghana Union of Traders’ Associations (GUTA) has attributed the recent appreciation of the Ghanaian cedi to a marked decline in demand for foreign currency among its members, signalling growing confidence in the local currency.

According to Charles Kusi Appiah, Head of GUTA’s Business and Economic Bureau, a significant behavioural shift is underway, with many traders opting to hold cedis rather than US dollars—a reversal from past practices when forex was seen as a safer store of value.

“When the cedi is not doing well, people put their trust in forex. The dollar becomes the store of value. But now the opposite has occurred. The cedi is appreciating. So why hold on to forex when you are losing value?” he remarked in an interview on Thursday, May 8.

He explained that in times of economic uncertainty, traders typically hedge their working capital by holding dollars, even when there is no immediate need, just to preserve value. However, the recent stability and gains in the cedi have altered that approach.

“People used to buy forex just to hold, simply because it felt safer. But now, confidence in the cedi is growing. That is driving a lot of people to liquidate their forex holdings,” Mr. Appiah stated.

He further pointed to the introduction of Ghana’s gold-for-oil barter system, Gold for Oil—often referred to as GoldBod—as a key policy shift that has helped reduce forex demand in international transactions.

RelatedPosts

The Global Push for a Just Transition in Energy Jobs

Why the IEA Reinstated Its “Business as Usual” Scenario

GRA Targets Offshore Income in Expanded Tax Compliance Drive

“With the introduction of GoldBod, where most international transactions now use gold, the demand for forex has reduced. So there’s no need for one to hold forex for any transaction,” he added.

Mr. Appiah noted that the currency shift among traders is not merely speculative, but rather based on observed economic trends. He recounted a conversation with a concerned trader asking about the viability of holding dollars in the current market.

“I told him, of course, yes—the cedi is gaining strength every day. If you think you don’t have anything to do with that forex, liquidate. There are other investment options, probably the gold coin, that you can invest in so you don’t lose totally,” he advised.

He cautioned that continuing to hold dollars amid the cedi’s rebound would likely result in value erosion.

“Anytime forex outperforms the cedi, our working capital gets depleted. That’s why people used to say, let me limit my losses by buying forex. But when the dynamics change, and you see there’s no need to hold it, the demand reduces. And that is accounting for the downward trend of forex in our market.”

He concluded that the current situation reflects a strong vote of confidence in the local currency.

“The confidence has been that our local currency is strong enough to be the store of value. That is what is accounting for the things we see now.”

Tags: Forex DemandForex Demand Decline Among GUTA Members as Confidence in Cedi Surgesguta

Leave a Reply Cancel reply

Your email address will not be published. Required fields are marked *

I agree to the Terms & Conditions and Privacy Policy.

No Result
View All Result

Highlights

Gold Boom Drives Rising Costs for Australian Producers

La Liga: Barcelona Stages Late Comeback Against Levante as Atletico Madrid Drops Points Again

Premier League: Spurs Stun Man City at Etihad; Arsenal Dominates Leeds to go Top

CHAN 2024: Senegal, Sudan Complete Semifinal Lineup

From Promise to Peril: How Exam Fraud is Eroding Ghana’s Educational Soul

The 10 Fastest-Growing Trading Nations in Africa

Trending

Features

The Global Push for a Just Transition in Energy Jobs

August 24, 2025

The Global Push for a Just Transition in Energy Jobs For years, energy workers from the fossil...

Why the IEA Reinstated Its “Business as Usual” Scenario

August 24, 2025

GRA Targets Offshore Income in Expanded Tax Compliance Drive

August 24, 2025

Gold Boom Drives Rising Costs for Australian Producers

August 24, 2025

La Liga: Barcelona Stages Late Comeback Against Levante as Atletico Madrid Drops Points Again

August 24, 2025

Who we are?

NORVANREPORTS.COM |  Business News, Insurance, Taxation, Oil & Gas, Maritime News, Ghana, Africa, World

NorvanReports is a unique data, business, and financial portal aimed at providing accurate, impartial reporting of business news on Ghana, Africa, and around the world from a truly independent reporting and analysis point of view.

© 2020 Norvanreports – credible news platform.
L: Hse #4 3rd Okle Link, Baatsonaa – Accra-Ghana T:+233-(0)26 451 1013 E: news@norvanreports.com info@norvanreports.com
All rights reserved we display professionalism at all stages of publications

No Result
View All Result
  • Home
  • Business
    • Agribusiness
    • Aviation
    • Energy
    • Insurance
    • Manufacturing
    • Real Estate
    • Maritime
    • Tourism
    • Transport
    • Banking & Finance
    • Trade
    • Markets
  • Economy
  • Reports
  • Technology
    • Cryptocurrency
    • Cyber-security
    • Social Media
    • Tech-guide
    • Telecom
  • Features
    • Interviews
    • Opinions
  • Lifestyle
    • Entertainment
    • Sports
    • Travel
    • Environment
    • Weather
  • NRTV
    • Audio
    • Video

Welcome Back!

Login to your account below

Forgotten Password?

Create New Account!

Fill the forms bellow to register

All fields are required. Log In

Retrieve your password

Please enter your username or email address to reset your password.

Log In
NORVANREPORTS.COM | Business News, Insurance, Taxation, Oil & Gas, Maritime News, Ghana, Africa, World
This website uses cookies. By continuing to use this website you are giving consent to cookies being used. Visit our Privacy and Cookie Policy.
We use cookies to ensure that we give you the best experience on our website. If you continue to use this site we will assume that you are happy with it.