The Bank of Ghana (BoG) has urged businesses and other economic actors to base their financial decisions on prevailing market fundamentals rather than speculation, as authorities work to sustain recent gains in exchange rate stability.According to the central bank, transactions driven by genuine demand and underlying economic conditions will help preserve the stability of the cedi and reinforce broader macroeconomic improvements.Speaking at the Money Summit, the Second Deputy Governor of the Bank of Ghana, Mrs Matilda Asante-Asiedu, stressed the importance of responsible market behaviour, warning that speculative activities could undermine confidence and place unnecessary pressure on the foreign exchange market.“The fundamentals of this economy do not reward speculation against our currency. I urge every actor, whether you are a bank, importer, exporter or investor, to transact based on genuine and present needs, not out of fear or panic,” she said.“Because, as you have heard, our reserves continue to build, and they are there as buffers to help us support this economy.”Her remarks come amid renewed pressure on the cedi. By the close of last week, the local currency had depreciated by 0.94 per cent week-on-week against the US dollar, while weakening by 0.70 per cent against the British pound and 1.24 per cent against the euro. This pushed the cedi’s year-to-date loss against the dollar to 10.14 per cent.Despite these pressures, Mrs Asante-Asiedu noted that recent improvements in key macroeconomic indicators have strengthened the cedi and contributed to greater stability in the economy.She said businesses and market participants have a crucial role to play in sustaining these gains by making decisions based on actual business needs rather than speculation.According to her, transactions grounded in prevailing economic conditions are essential to maintaining stability in the foreign exchange market and ensuring that recent progress is not reversed.“We all saw the lessons plainly last year. Those who bet against the cedi and hoarded foreign currency soon found themselves on the wrong side of the trade, unwinding at a loss as the currency staged one of the world’s strongest recoveries through 2025,” she said.“And traders will tell you that there came a time when people who had hoarded foreign currency began to offload their holdings.”Mrs Asante-Asiedu’s comments come at a time when the cedi has recorded one of its strongest performances in recent years, supported by improved foreign exchange inflows, stronger reserve buffers and renewed confidence in the economy.The Bank of Ghana believes that reducing speculative demand for foreign currency and allowing market fundamentals to guide decision-making will help create a more stable exchange rate environment, ease inflationary pressures and strengthen the economy’s resilience.