Food & beverage companies sack 500 workers posted Today at 11:42
20 companies in Tema to close down due to economic hardship posted Yesterday at 11:58
Rlg takes on Kwaku Kwarteng for wrongful representationposted Yesterday at 11:28
Bank of Ghana ordered to respond to cedi depreciation case posted Today at 11:13
New national airline to be set up posted Today at 11:18
20 Companies To Shut Down In Temaposted Yesterday at 10:35
‘CSR can’t solve our problems’ – PEF bossposted Yesterday at 11:33
NIC directs insurers to pay claims in one weekposted Today at 11:37
BoG to issue 3-year bondposted Yesterday at 09:05
Minority Rejects GH¢3.2Bn Budgetposted Yesterday at 11:11
3-year bond to boost the cedi’s performance against dollar backposted on Wed, 29 May at 11:58
The bond which is the third in a series since January is to roll over maturing papers as well as support government’s budget.
Financial players believe the cedi could take a breather ahead of bond auction tomorrow which is open to offshore investors.
The cedi has fallen by over 2 percent against the dollar so far this year.
Sammy Ampah of Gold Coast Securities told Citi Business News, the 3 year bond issue will boost the cedi’s performance against dollar.
He explained that “if you look at history, bond issuance directly has an effect on the local currency however, it happens that the demand for the dollar sometimes out stretch the supply. We are just hoping because this money we are trying to raise from the international market is quite huge. It certainly will cushion the economy very well.”
According to him, the “three-year bond has been sort of a cushion for the cedi am telling you, if it had not been the bonds that we have issued these past years, we may have had the cedi really depreciating against the dollar. The bonds have really helped the cedi value significantly.”
By: Vivian Kai Mensah/citifmonline.com/Ghana