As of September 30, 2022, the Ghana cedi had depreciated by 37.5% to the US dollar, the Bank of Ghana has said.
At the same time, the cedi had depreciated by 24.1 percent, and 27.5 percent against the pound, and Euro.
In comparison with the same period of last year, the Ghana cedi fared better, depreciating by 1.8% and 0.5% against the US dollar and the pound, respectively, and appreciated by 4.0% against Euro
In its October 2022 Monetary Policy Report, the Central Bank said the depreciation of the currency was driven by higher crude oil product import bill on the back of rising prices, non-roll over of maturing bonds by non-resident investors, portfolio reversals and sudden exit of non-resident investors in the bond market, as well as loss of market access to Eurobond resources.
The effect of these factors has been exacerbated by the strength of the US dollar, resulting in depreciation of the local currency from the beginning of the year-to-date”.
Bloomberg had earlier stated that the cedi lost 40.05% in value to the US dollar in nine months of 2022, ranking it as the second worst-performing currency in the world in the 147th position.
This decline in the local currency against the American currency is the worst in over three decades.
The performance of the cedi also ranked it as the worst among 30 top-performing currencies on the African continent.