Browsing: Ghanaian Cedi

Ghana finds itself in the classic emerging market trap. This comes from owing too much in someone else’s currency when the global economic tide turns. One ought not to read too much into an emerging economy getting creative with money or to confuse the confiscation of private assets with a more conventional process of fiscal retrenchment that would gain IMF approval. If the plan succeeds, Ghana may have saved itself from an economic meltdown, especially in a period widely considered as economic turmoil, per the World Bank’s analysis of the 2023 economy.…

Over the past decade, African countries have accumulated external debt at a faster pace. The countries have capitalized on abundant, low-cost international credit for fiscal and balance-of-payments funding to help drive development plans.

Africa’s total external debt, accrued by both the private and public sectors, owed to foreign lenders, has surpassed $1 trillion. The related annual debt servicing costs broke through the $100 billion threshold for the first time in 2021.…

• Analysts project the Kenyan shilling to remain within the ranges of Sh115.1 and Sh119.1 against the US Dollar in 2023
• The shilling depreciated by 9 percent against the US Dollar to close at Sh123.4 in 2022
• The depreciation of the Kenyan shilling in 2022 was driven by high global crude oil prices, increased dollar demand by importers, and government debt servicing. 

Analysts project the Kenyan shilling to remain within the ranges of Sh115.1 and Sh119.1 against the US Dollar in 2023, even as it closed the year at a record Sh123 against the greenback. 

Cytonn Investments Annual Market Report indicates that the shilling depreciated by 9 percent against the US Dollar to close at Sh123.4 in 2022 compared to Sh113.1 at the end of 2021, equivalent to a 3.6 percent depreciation. 

“Against our expectations, the Kenyan shilling closed the year at Sh123.4. We expected the Kenyan shilling to remain within …