Ghana’s Cedi Gains as Bond Investors, Oil Companies Sell U.S. Dollars
Ghana’s cedi strengthened as foreign investors sold dollars before the country’s first auction of five-year bonds since 2007 and oil companies bought cedis to pay bills.
The currency of the world’s second-biggest cocoa producer traded at 1.5140 per dollar as of 1 p.m. in Accra, the capital, from a closing rate of 1.5150 on July 15, according to data compiled by the local unit of Access Bank Plc.
“We have foreign investors selling dollars today in anticipation of the five-year bond auction by Bank of Ghana,” Kwabena Owusu, a currency trader at the lender, said in a telephone interview today. “Big international oil companies were also on the market to buy cedis to pay expenses.”
The central bank set July 28 as the date for its first five-year bond auction since June 2007, according to a prospectus published on its website. The Bank of Ghana will sell 300 million cedis ($198 million) of the notes, it said.
To contact the editor responsible for this story: Antony Sguazzin at asguazzin@bloomberg.net.
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