According to Bloomberg, the Ghana cedi, which is now ranked as the 147th best performing currency
in the world, lost 40.05% of its value against the US dollar in the first nine months of 2022.
The local currency is currently experiencing its biggest drop versus the US dollar in more than three
decades.
The cedi's performance placed it last among the top 30 performing currencies on the African continent.The value of the local currency in relation to the most valuable currency in the world decreased by over 21% in the last three months.
August 2022 was the worst month for the situation.
The bad fiscal condition of the economy has made the cedi's problems worse this year, leading all three of the world's main rating agencies to downgrade the country's credit rating.
This has caused some investors to liquidate their holdings in government bonds, which has made the situation worse.
Cedi depreciation will be temporarily slowed by the Cocoa Syndication Loan.
However, the anticipated $1.3 billion Cocoa Syndication Loan, whose initial inflows may occur this month, will greatly slow down the rate of cedi depreciation in the coming years The Ghana Cocoa Board's management will likely sign the historic loan agreement with a few foreign banks to make it easier to buy cocoa beans from growers for the 2022–2023 crop season.
Again, the anticipated economic program that the government is expecting from the IMF may, in the medium run, slow the local currency's sharp decline.
The Sri Lankan Rupee, which currently occupies the 148th spot, is the currency that is performing the worst globally
.After the rating agency Fitch downgraded the country's sovereign debt last week, the cedi experienced a record-breaking weekly fall in trading on the interbank market.
According to analysts, the local unit suffered significant losses in the interbank market as the cedi's value versus the dollar continued to decline due to persistent foreign exchange demand.
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