The elections in Nigeria has been cited as one of the reasons for the steep decline of the cedi in recent weeks.
The cedi has depreciated against the dollar and is currently trading at GHS 3.80 to the dollar,leading to an increase in general goods and services around the country.
According to a Currency Analyst, Sammy Ampah, the local currency has depreciated by 3.80 per cent to the American dollar since the beginning of this year despite beginning the year at GH¢3.20 to the dollar and this he attributed to the elections in Nigeria.
According to him, there are a lot of Nigerians in Ghana doing business and investing in the economy but the election is crucial to people who transact business and until the election is over, people will not invest in Ghana.
He has also blamed the loss of foreign exchange as one of the factors contributing to the depreciation of the local currency.
The rapid fall of commodity prices on the world market, especially gold and cocoa impacted negatively on the country’s foreign exchange which also led to the depreciation of the country’s currency.