The Ghana cedi has lost about 4% of its value against the US dollar in 2025, according to the World Bank’s April edition of the Africa Pulse Report. This performance stands out as one of the most stable for the currency in recent years.
In sharp contrast, the cedi depreciated by over 17% in 2024, placing heavy pressure on the economy and driving up the cost of imports.
Across Africa, the CFA franc used by most Francophone West African countries performed the best, gaining approximately 2% against the dollar. Meanwhile, the South Sudanese pound, Ethiopian birr, and Nigerian naira experienced the steepest declines in 2024, each losing more than 40% of their value.
The World Bank attributes these fluctuations to shifting financial conditions and the impact of ongoing foreign exchange reforms. As these reforms begin to take effect, some currencies are showing signs of recovery.
For example, the Kenyan shilling appreciated by 20% throughout 2024 and has remained relatively stable in 2025. On the other hand, the South African rand and currencies pegged to it saw only slight fluctuations, hovering near their end-of-2023 values.
However, countries struggling with rising debt repayments and weak export earnings have faced sharp currency declines. These foreign exchange shortages, especially in 2024, contributed to the rapid depreciation of several African currencies.
Despite regional challenges, the cedi’s relatively modest loss in 2025 signals cautious optimism for Ghana’s currency stability moving forward.
