Ghana Cedi Achieves Historic 41% Appreciation Against US Dollar in 2025

In a remarkable turn of events, Ghana’s local currency, the cedi (GH¢), has appreciated by 41% against the United States dollar ($) in 2025, marking its first annual gain in over three decades. This performance positions the cedi as the second-best performing currency among 144 tracked by Bloomberg, trailing only the Russian ruble. The significant appreciation is attributed to a combination of rising gold prices and a weakening dollar, with Ghana benefiting as Africa's largest gold producer.

The Bank of Ghana has played a crucial role in this turnaround by increasing its gold purchases, which bolstered the country’s gross international reserves by 24% to $11.4 billion as of October 2025. Additionally, the establishment of the Ghana Gold Board (GoldBod) has enhanced the regulation and sustainability of the gold market, further supporting the cedi's performance.

As the year closed, the cedi was trading at GH¢10.45 to the dollar, reflecting a year-to-date appreciation of approximately 40.67%. This strengthening of the cedi is expected to reduce import costs, providing relief for businesses and households as Ghana heads into 2026. Experts anticipate that the cedi's upward trend will continue, driven by improved gold flows and rising reserves, enhancing consumer purchasing power and lowering operational expenses for businesses due to decreasing fuel prices.