Cedi ranked second worst-performing currency in the world – Bloomberg report

The Ghana Cedi has been ranked as the second worst-performing currency in the world after Sri Lanka’s Rupee, a Bloomberg report has said.

The international news portal said the Cedi lost its value by 40.05 percent to the United States dollar in the first nine months of 2022 – making it the worst in over 30 years.

The development has since placed the Ghana Cedi in 147th position in the world among major currencies.

Bloomberg further said the performance of the Cedi has made it the worst among 30 top-performing currencies on the African continent.

Ghana’s Finance Minister, Ken Ofori-Atta recently disclosed that the Ghana Cedi depreciated by 37.1 percent against the US Dollar as of September 27, 2022.

At the start of 2022, demand for forex overtook supplies during a period when high debts and low investor confidence have made it impossible for Ghana to access the international capital market for borrowing.

The situation resulted in the persistent depreciation of the Cedi against the major trading currencies.

As at July this year, the cedi lost its value by more than 20 percent to the US dollar.

In addition, recent economic downgrades by international rating agencies such as Fitch and Standards & Poors’ has also impacted the investor community at large, while Ghana awaits an IMF support programme which is expected to be accessed in 2023.