The Ghana cedi still holds the coveted spot as Africa’s best-performing currency after eight months into 2025, according to the World Bank’s latest Africa Pulse report released this month.
The report indicates that the cedi has appreciated by more than 20 percent in just eight months, topping Africa’s currency list as the best-earning currency.
As has already been publicised by economists and analysts, the report attributes the remarkable turnaround to tight fiscal and monetary discipline, rising export revenues, and renewed investor confidence following Ghana’s successful sovereign debt restructuring.
The report further indicates that the cedi’s performance is the strongest across Sub-Saharan Africa, marking a stunning reversal from 2024, when it depreciated by 19 percent, one of the continent’s worst showings that year.
“The Ghanaian cedi appreciated by more than 20 percent year-to-date over the first eight months of 2025, after weakening by 19 percent in 2024,” the October 2025 Africa Pulse report declared.
It added, “Tight monetary and fiscal policy, rising export revenues (thanks to higher prices of cocoa and gold), and improved market sentiment (as a result of the successful debt restructuring process) contributed to strengthening the currency.”
The World Bank further states that while several African currencies have gained ground this year amid improved financial conditions and increased foreign exchange inflows, none has matched Ghana’s rally.
The Zambian kwacha trails closely as the second-highest-earning currency. It appreciated by 16%, driven by debt restructuring progress, lower oil import costs, and a temporary boost in US dollar supply.
Other currencies such as the Kenyan shilling, Tanzanian shilling, and Ugandan shilling also appreciated modestly, supported by stronger exports and recovering investor inflows.
But the Ghanaian cedi’s performance stands out, not only because of the scale of its appreciation but also the speed of its recovery from last year’s slump.
The World Bank report explains that African currencies have generally strengthened in 2025 thanks to a weaker US dollar, higher commodity prices, and more accommodative global financial conditions. These tailwinds have helped reduce inflationary pressures across the continent and stabilize domestic markets.
However, the cedi has experienced a slight dip in recent weeks, reflecting minor pressures in the forex market as businesses restock for the Christmas season and election-year spending expectations rise.
Already, the Bank of Ghana has indicated that it will sell about $1.15 billion into the forex market to calm pressures and keep the cedi grounded.
The recent slip and the BoG’s indication are indications that the cedi’s sterling performance among its peers still faces both external and domestic risks.
Analysts caution that sustaining the gains will require continued discipline and structural reforms to maintain the currency’s stability.
