EU Forum: Cedi gains backed by $10.6bn reserves – Mahama

President John Dramani Mahama has credited Ghana’s recent currency stability and economic rebound to increased foreign exchange inflows and deliberate policy interventions aimed at restoring macroeconomic stability.

Speaking at the opening of the Ghana–EU Business Forum in Accra on Tuesday, May 20, President Mahama said the Ghanaian Cedi’s appreciation reflects renewed investor confidence and strengthened external reserves.

The forum, held under the theme “Deepening Ghana-EU Cooperation on Trade and Investment in Non-Traditional Value Chains under the EU Global Gateway Strategy,” saw key stakeholders from Ghana and the European Union to explore opportunities for enhanced economic cooperation.

He stated that Ghana’s gross international reserves had increased from $8.9 billion in December 2024 to $10.6 billion by April 2025, which is equivalent to nearly five months of import cover.

President Mahama described this as a testament to Ghana’s improving external position and prudent fiscal management.

On fiscal policy, President Mahama noted that the government is pursuing a path of consolidation.

“The Ghanaian Cedi, which depreciated by 19.3% in 2024, has shown signs of recovery, appreciating by 3.9% against the US Dollar by the end of 2025. This has been supported by stronger forex inflows, improved trade balances and growing investor confidence.”

“Our gross international reserves have improved further from 8.98BN dollars in December 2024 to 10.6BN dollars in April 2025. This is almost equivalent to 5 months of import cover. Fiscal consolidation is underway, we have reduced the fiscal deficit on commitment basis, from 7.5% of GDP in 2024 to 6.4% in the first half of 2025, and we are on track to meet our 2025 end year of 3.1% through expenditure rationalisation, improve domestic revenue mobilization and strong anti corruption measures.”

“These figures, though early in the year, are clear signs of discipline and inclusive economic recovery”, the President noted, adding that trade relations with the European Union remain robust and mutually beneficial.

Reaffirming his government’s commitment to building investor confidence, President Mahama assured both local and international businesses of a stable and predictable investment environment.

He added, “I assure all potential investors that under this administration, Ghana is committed to transparent Governance, policy predictability and a reformed business environment. We are restoring confidence in our public procurement systems, enforcing contract sanctity and protecting investor rights under both domestic and international legal regimes.”