Fuel prices have declined slightly at the start of the June 2025 pricing quarter, providing modest relief for drivers and private vehicle owners across Ghana. This drop is largely due to the continued appreciation of the cedi against the US dollar.
The stronger local currency has helped reduce import costs for petroleum products. However, it remains uncertain how much of these savings will be passed on fully at the pumps. In recent pricing windows, fuel prices have followed a consistent downward trend, with some Oil Marketing Companies now selling petrol and diesel at just over GH₵13 per litre.
Currency appreciation remains the central factor driving this reduction. As the cedi continues to firm up, the pricing environment for petroleum products improves correspondingly. Analysts suggest that if the trend holds, further cuts in fuel prices could be expected in the coming weeks.
Cedi Gains Continue to Influence Fuel Market
Market analysts remain optimistic about additional reductions in fuel prices, citing the cedi’s resilience and reduced import-related expenses. The strengthened currency has created room for downward pricing, though experts argue there is potential for even steeper declines.
During the final pricing window of May, some energy analysts stated that fuel prices could have dropped further. Despite observed reductions, they pointed to missed opportunities for deeper cuts. Still, the latest developments have brought wider benefits.
The Ghana Private Road Transport Union (GPRTU) recently announced a 15% reduction in transport fares. The union cited declining fuel prices and a relatively stable exchange rate as the main drivers behind the decision. This move aims to transfer some of the cost savings to commuters and businesses alike.
As the cedi continues to hold firm, pressure is expected to grow on fuel retailers. Consumers and advocacy groups are likely to demand that more of the currency-related savings be reflected in actual fuel prices at the pump.
With exchange rate gains influencing the petroleum import landscape, the outlook for fuel prices remains cautiously optimistic for the coming weeks.
Background
in recent developments, Fitch Solutions, a UK based research firm revised their previous projection with the currency now expected to end 2025 at GH₵13.00 to the US dollar. This marks a significant improvement from its earlier projection of GH₵15.50, reflecting recent cedi strength in the foreign exchange market.
According to the UK-based research firm, the revision follows a 16% to 30% appreciation of the cedi between late April and May 2025. This performance is attributed mainly to rising global gold prices, which have boosted Ghana’s export earnings and supported the currency.
Fitch forecasts the cedi to appreciate again by 12.9% in 2025, compared to the projected end-2024 rate of GH₵14.70 to the dollar. The updated Ghana Cedi value forecast suggests increased currency stability, benefiting both inflation control and monetary policy planning.
