Currency Rates for Ghanaian Cedi
Bank Exchange Rates for Ghana - GHS - Ghanaian Cedi - GH₵ or GH¢. The foreign exchange rates for Ghana also known as the ISO code GHS or the Ghanaian Cedi currency and as a symbol GH₵ or GH¢. Send Money Transfer to Ghana.
Coins circulate in denominations of 1, 5, 10, 20 and 50 Pesewa, and 1 cedi, banknotes are available in denominations of 1, 2, 5, 20, 20 and 50 Cedi.
After the West African country of Ghana gained its independence from Britain in 1957, the government at the time which was led by President Nkrumah, made several financial reforms with the most prominent being the change of currency from the British West African Pound to the Ghanaian Pound. The Ghanaian Pound was introduced in 1958 and would be used for seven years. In 1965, five years after Ghana became a Republic, the Ghanaian pound was replaced with the Cedi and thus moved Ghana from using the British colonial monetary system to the more popular decimal system.
The new Cedi was introduced in 1967 after the military coup of 1966 overthrew the Kwame Nkrumah led government. This was mainly done because the new military leaders of the country wanted to remove the face of the former president from all the existing banknotes. This new version of the Cedi would be used for several years until 2007 when there was a huge re-denomination drive that replaced the old currency with the new Ghana Cedi.
The main reason for the re-denomination of the Cedi was because the currency had lost a lot of its value through years of high inflation. As at the time of the re-denomination, 1 US dollar was valued at 10,000 cedis but the re-denomination allowed for the removal of four digits which pegged the value of 1 US dollar to be equal to 1 Ghanaian Cedi. This re-denomination process made the Ghanaian Cedi the highest denominated currency unit in Africa.
The name 'Cedi' is an Akan word for cowry shell which was previously used as the medium of exchange.
Coins and Banknotes
In 2007 new coins and banknotes were introduced and these were used in addition to the old currency in an attempt to phase the old Cedi out of existence.
The new currency is comprised of six coins and six banknotes which are stated below:Coins1. 1 Pesewa (1p)2. 5 Pesewas (5p)3. 10 Pesewas (10p)4. 20 Pesewas (20p)5. 50 Pesewas (50p)6. 1 Cedi
Banknotes1. 1 Cedi2. 2 Cedis3. 5 Cedis4. 10 Cedis5. 20 Cedis6. 50 Cedis
Due to the constant depreciation of the Ghanaian Cedi in 2013, the Bank of Ghana which is the central bank of the country, introduced some new restrictions which were to improve the liquidity in the interbank currency market and shore up the Cedi. The new regulation requires all commercial banks to actively quote a two-way pricing of currency exchange and limit the spread on corporate transactions to a maximum of 200 pips
The cedi is the main legal currency used in the country but as with most economies, there is enough flexibility that allows the other foreign currencies to be used in financial transactions. Prices of goods and services can be quoted in other currencies but the central bank requires all institutions to provide a Cedi equivalent.
Issues with the Cedi
The Ghanaian Cedi is one of the most unstable currencies in Africa. In 2013, the currency depreciated by about 20 percent and this created severe inflation in the country. This particular issue made the Cedi lose value against some of the major global trading currencies.
GBP to GHS
Ghana used to use the British West African Pound, but this was replaced with the Ghanaian pound when the country gained independence in 1958.
The Ghanaian pound was replaced with the cedi and pesewa (1/100th of a cedi) in 1965. The second cedi was introduced in 1967, and remained the official currency of Ghana until the third – and current - cedi replaced it in 2007. Bank Exchange Rates for Ghana. The foreign exchange rates for Ghanaian Cedi also known as the ISO code GHS. Send money transfer online with us with the cheapest options.