The Head of the Business and Economic Bureau of the Ghana Union of Traders Association (GUTA), Charles Kusi Appiah, has commended the Bank of Ghana (BoG) for its efforts in providing forex support for businesses.

According to him, the Central Bank’s interventions in the forex market have helped businesses recover losses suffered during the cedi’s sharp depreciation over the past three years.

His comments follow the BoG’s decision to slow down its forex interventions in the second quarter of 2025 after heavy injections in the first quarter.

BoG reduces forex market intervention in Q2 2025

Kusi Appiah noted that the depreciation of the cedi in 2022 alone cost businesses nearly 50%–60% of their working capital.

“If you have never done business and lost capital because of forex hikes, you may not appreciate the impact. From 2021 to 2022, when we saw forex hikes, businesses lost between 50% and 80% of their working capital,” he said in an interview with Accra-based TV3 on August 25, 2025.

He further explained that the forex crisis triggered capital flight, with foreign businesses relocating their investments from Ghana.

Cedi slips further to sell at GH¢10.95 to $1

“When we were losing out because of forex hikes, foreign companies that had invested here began relocating. That is capital flight. How do you sustain investments you have worked so hard to attract as a government? This intervention has brought real relief to Ghanaians.

“For us as traders, we are forever grateful to the governor, his team, and the government. When forex hikes drive up inflation and interest rates, non-performing loans also rise. That is what we saw in the banking sector three or four years ago,” he added.

SSD/MA