Cedi Falls Most in Two Weeks on Election Concern: Accra Mover
Ghana’s cedi weakened the most in almost two weeks because of concern that an opposition challenge to an election victory by President John Dramani Mahama may prolong uncertainty about changes in policy.
The currency of the world’s second-biggest cocoa producer depreciated 0.2 percent to 1.8953 a dollar as of 4:15 p.m. in Accra, the capital, the biggest decline since Nov. 28.
The cedi fell today “because the market became nervous about court challenges from the New Patriotic Party,” Coura Fall, a sub-Saharan Africa strategist at Citigroup Inc. in Johannesburg, wrote in an answer to e-mailed questions. With Mahama elected as president, “generally we don’t expect that there will be major changes in policy,” Fall said.
A court challenge of electoral results may either annul the results or change the winning margin, Fall said.
Mahama of the ruling National Democratic Congress won 50.7 percent of the vote from the Dec. 7 and 8 elections, Kwadwo Afari-Gyan, chairman of the electoral commission, said Dec. 9. Nana Akufo-Addo of the opposition New Patriotic Party got 47.7 percent.
The NPP plans to challenge the results in a Ghanaian court, after saying it found “big discrepancies in the results from the constituencies and those announced by the Electoral Commission,” Communications Director Nana Akomea said by phone yesterday.
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