Ghana's cedi emerges as April's best-performing global currency
Ghana's cedi has been recognised as the world's top-performing currency in April 2025, appreciating nearly 16% against the U.S. dollar, according to Bloomberg data.
This gain is attributed to a combination of factors, pointing to the Bank of Ghana's proactive measures, including the injection of $490 million into the foreign exchange market during April, which bolstered liquidity and stabilized the currency.
A reduction in demand for the U.S. dollar and improved interbank liquidity contributed to the cedi's strength.
The cedi's appreciation has had a positive impact on Ghana's economy, helping to lower import costs and contributing to a decline in inflation rates to an eight-month low.
However, despite the appreciation, the country’s central bank may not lower interest rates. “It tightened at its last meeting to mop up any excess liquidity. So now the central bank action going forward may not readily reduce the monetary policy rate yet because there might still be some threats to inflation coming from the hikes in utility prices,” said Dr. Agyapomaa Gyeke-Dako, an economist and senior lecturer at the University of Ghana Business School.
As of early May, the cedi traded at approximately GH¢13.25 to the dollar on the interbank market. While the currency has experienced some fluctuations, the overall trend indicates a strengthening position, reflecting investor confidence and effective monetary policies.
