Ghanaians are set to enjoy some relief at the pumps starting Friday, May 16, 2025, as fuel prices are expected to drop. This positive development was confirmed by the Chamber of Oil Marketing Companies (COMAC) in an interview with Joy Business.
According to COMAC, two key factors are driving this drop: the strong performance of the Ghana cedi and declining petroleum product prices on the global market.
Forex Impact on Fuel Prices
Dr. Riverson Oppong, Chief Executive of COMAC, highlighted that the foreign exchange rate plays a major role in fuel pricing in Ghana. He explained:
“One of the biggest components in fuel pricing in Ghana is the forex rate. The U.S. dollar is weakening, global oil prices are dropping — that’s why we’re seeing prices fall by 13% to 15% on average.”
He added that if this trend continues, Ghanaians should expect further price reductions.
“We believe this relief will continue. As long as the cedi stays strong and global prices drop, everyone should benefit.”
Cedi Performance – A Boost to the Economy
The Ghana cedi is currently the best-performing currency among 15 Sub-Saharan African currencies, gaining:
• 6.25% week-on-week against the U.S. dollar
• 7.61% against the British pound
• 5.81% against the euro
As of May 14, 2025, the cedi traded at:
• GH¢12.95 to the dollar (retail market)
• GH¢12.52 on the interbank market
This performance is supported by strong market liquidity, with over US$378.6 million in foreign exchange supply.
Credit Ratings Reflect Economic Confidence
Adding to the positive outlook, S&P Global Ratings has upgraded Ghana’s foreign currency credit rating from Selective Default to ‘CCC+/C’, with a stable outlook. The agency cited:
• Ghana’s economic growth
• Ongoing fiscal reforms
• Improved public financial management
Analysts believe this will further support the cedi’s stability and attract investor confidence.
Final Thoughts
Fuel price drops are always welcome news, especially in challenging times. With the cedi performing strongly and global oil prices falling, consumers in Ghana could finally breathe a little easier at the pumps.
Stay with African Rooster for more updates on fuel prices, forex news, and economic developments in Ghana and across Africa.
