The Governor of the Bank of Ghana, Dr. Johnson Asiama, has affirmed the Central Bank’s commitment to a flexible exchange rate regime, emphasizing that it is not targeting a fixed exchange rate or predetermined band. Instead, the Bank remains focused on policies rooted in market fundamentals and responsive to economic shocks.

Speaking at the “Banking the Last Mile” event organized by the Ghana Association of Banks in collaboration with Absa Bank Ghana, Dr. Asiama stressed that the central bank is vigilant and ready to act when necessary to maintain macroeconomic stability.

“Let me be clear: we are not pursuing a rigid exchange rate target or a predetermined band. The Bank of Ghana remains committed to a flexible exchange rate regime—anchored in fundamentals, responsive to shocks, and supported by credible policy tools,” he stated.

He noted that the Bank is fully prepared to respond in a timely and measured manner to developments in the foreign exchange market in order to preserve orderly market conditions.

Dr. Asiama also dismissed claims of artificial intervention in the currency market, asserting that the recent stability of the Ghana cedi is the outcome of deliberate policy reforms and a strengthening macroeconomic environment.

“The recent stability of the exchange rate is not accidental, nor is it the result of artificial interventions. Rather, it reflects the cumulative impact of sound monetary policy, enhanced transparency in the foreign exchange market, and improved external sector fundamentals,” he explained.

He outlined several reforms that have contributed to the current stability, including a shift to a more efficient foreign exchange auction framework, tighter market surveillance, and better alignment between foreign exchange demand and real economic activity.

“These measures have curtailed speculative pressures and ensured that foreign exchange flows are driven by legitimate trade, investment, and remittance activity,” he said.

Dr. Asiama also highlighted progress under Ghana’s IMF-supported economic reform programme, noting that fiscal consolidation, improved investor sentiment, and positive external financing flows are helping to anchor market expectations and support the currency.

“The macro-fiscal adjustments being implemented under the IMF-supported programme are yielding results. Fiscal discipline is restoring credibility, while sustained disinflation, positive real interest rates, and strong export and remittance inflows have strengthened confidence in the cedi,” he concluded.