Ghana Cedi Surges to Top of Africa's Currency Rankings—But Can the Rally Last?

The Ghanaian cedi has experienced a remarkable appreciation in 2025, ranking as the fourth best-performing currency in Africa and gaining over 40% against the US dollar. This surge has been attributed to interventions by the Bank of Ghana, reduced public spending, and improved foreign exchange support, which have helped stabilize the currency and reportedly saved the country billions in public debt. However, analysts and some policymakers caution that the cedi's gains may not be underpinned by strong structural reforms, and discrepancies between official and market exchange rates persist. There are concerns that rising import demand and a stronger US dollar could put renewed pressure on the cedi in the coming weeks. The sustainability of the cedi's rally remains uncertain, with calls for more robust economic reforms to ensure long-term stability.