American real estate broker reveals the ‘major’ Reason why the Ghana Cedi has depreciated drastically

An American real estate broker has revealed the main reason behind Ghana Cedi depreciating drastically since February, 20222.

According to him, the cedi is not depreciating because of bad running of the country. He cited that, the Ghanaian Cedi has been stable of the last ten years.

He mentioned two major events that hit the Ghana Cedi, the first being the Ukranian war and second was the credit rating agencies of the world, the S&Ps all in unison lowered the lowered the Ghanian credit rating significantly from mid risk to very high risk.

He continued that, these agencies cited that Ghana has low ESG score. ESG which means Environmental Social Governance, hence, the banks of the world said Ghana is not doing what they were told to do, hence, they’ll increase the cost of their borrowings.

He said, Ghana was over reliant on overseas investors because it’s easy when one has an investor willing to invest at a low interest rate. This he said comes with golden handcuffs.

Listen to his full explanation below.

Scroll to Top