Ghanaian car buyers may soon catch a break, as second-hand vehicle dealers express optimism that prices could drop in the coming months, due to the strengthening Cedi.
In recent weeks, the local currency has shown notable gains against the U.S. dollar, and industry players believe this could ease the financial burden on both importers and consumers in Ghana’s heavily import-dependent automotive market.
“Our market is influenced by the dollar. So when the dollar drops, prices follow. Now everyone knows the dollar is going down, and they are asking us to adjust our prices too.” said Clifford Ansu, General Secretary of the Second Hand Car Dealers Association.
Ghana’s car market is dominated by used vehicles from Europe and North America, and prices are directly affected by exchange rates and import duties at the port. A weak cedi has historically driven up costs, but with the currency now regaining strength, dealers expect a shift.
However, Ansu explained that while current car prices remain high, that’s only because most available vehicles were brought in during a period of unfavorable exchange rates. As newer imports arrive under the improved exchange rate conditions, buyers should begin to see more competitive pricing.
“Some vehicles take up to a year to sell, so you won’t see the price change overnight. But going forward, if the dollar stays where it is, everyone will be happy,” Ansu added.
Buyers are already applying pressure. Dealers report increasing numbers of customers referencing the falling dollar and demanding price cuts.
“It’s consumer behavior,” Ansu explained. “People compare prices from Achimota to Circle and question why one car should cost GHS100,000 while another is GHS20,000.”
Meanwhile, stakeholders are urging the government to lock in favorable port exchange rates for longer periods to ensure price predictability for importers.
“If the dollar remains stable for six months to a year, and the government pegs it at the ports, we can plan better,” said Alexander Osei Assibey, another car dealer.
