Ghanaian cedi facts for kids

Quick facts for kids Ghanaian cedi
Cedi banknotes
ISO 4217 Code	GHS
User(s)	Ghana
Inflation	17%
Source	Ghana Statistical Service
Subunit
1⁄100	pesewa
Symbol	GH₵
pesewa	Gp
Plural	cedis
pesewa	pesewas
Coins	10Gp, 20Gp, 50Gp, GH₵1, GH₵2
Rarely used	1Gp, 5Gp
Banknotes	GH₵1, GH₵2, GH₵5, GH₵10, GH₵20, GH₵50, GH₵100, GH₵200

The cedi (pronounced like "SEE-dee") is the official money used in Ghana. It is the main type of money that can be legally used in Ghana today. One Cedi is split into one hundred smaller parts called Pesewas (Gp).

After Ghana became independent, it stopped using the British West African pound. This was the money used by British colonies in the area. Ghana's first own money was the Ghanaian pound (used from 1958 to 1965).

In 1965, Ghana decided to move away from the British money system. They chose to use the decimal system, which is based on units of ten. The new money was called the Cedi (used from 1965 to 1967). Ghana's first President, Kwame Nkrumah, introduced Cedi banknotes and Pesewa coins in July 1965. These replaced the old Ghanaian pounds, shillings, and pence. One Cedi was worth about eight shillings and four pence. This meant one pesewa was equal to one old penny.

After a military takeover in February 1966, the new leaders wanted to remove Nkrumah's face from the money. So, the "new Cedi" was introduced in 1967. It was worth 1.2 of the first Cedis. This made it equal to half of a British pound. Over many years, high inflation made the new Cedi lose a lot of its value. By 2007, the largest banknote, the 20,000 note, was only worth about US$2. Because of this, the "new Cedi" was slowly replaced in 2007 by the "Ghana Cedi." The exchange rate was 1 Ghana Cedi for every 10,000 old Cedis. By removing four zeros, the Ghana Cedi became one of the highest-valued money units in Africa. However, it has since lost more than 90% of its value.

What Does "Cedi" Mean?

Cedi coin with a cowry shell design

The word cedi comes from the Akan language. It means "cowry shell." Long ago, cowry shells were used as money in the area that is now Ghana. These shells are not originally from West Africa. They came from the Indian Ocean through trade with Arab merchants starting in the 14th century. The first modern coins used in the Gold Coast were made in 1796. But cowry shells were still used alongside coins and gold as money until 1901.

History of the Cedi

The First Cedi (1965–1967)

The first Cedi was introduced in 1965. It replaced the Ghanaian pound. For every 1 pound, you would get 2.4 Cedis. This also meant that 1 pesewa was equal to 1 old penny. The first Cedi was linked to the British Pound sterling. So, 2.4 Cedis were worth £1.

The Second Cedi (1967–2007)

The first Cedi was replaced in 1967 by a "new Cedi." This new Cedi was worth 1.2 times the first Cedi. This change made it easier to convert the money using the decimal system, where 2 new Cedis equaled 1 pound. It also allowed the government to remove Kwame Nkrumah's picture from the coins and banknotes.

The second Cedi was first linked to the British pound, with ₵2 equaling £1. But within a few months, its value dropped. It was then linked to the U.S. dollar at ₵1 for $0.98. The value of the Cedi continued to drop over the years.

In the early 1980s, the government tried to control prices. This made people buy and sell goods on the "black market" instead of official stores. On the black market, one U.S. dollar was worth about 120 Cedis by 1983. But the official bank rate was still ₵2.80 for $1.00. Eventually, Ghana had to let the Cedi's value slowly drop. This process ended in 1990 when the Cedi's value was allowed to change freely against other currencies.

Inflation continued to be a big problem. By July 2007, one U.S. dollar was worth about ₵9500. This led to the introduction of the third Cedi.

In 1979, the government changed the banknotes. New banknotes were given out, but for every 10 old notes, people only got 7 new ones. Coins and bank accounts were not affected.

Another change happened in 1982. The ₵50 note, which was the largest, was taken out of circulation. People could exchange their ₵50 notes for smaller notes or coins without losing value. But many Ghanaians who had saved a lot of ₵50 notes were afraid to exchange them all. So, some people simply burned their money. This was done to try and stop the black market. After this, the ₵20 note became the largest, but it was only worth about $0.35 U.S.

Because of these changes and high inflation (around 100% each year), people started to lose trust in their own money. Some transactions began to be done using foreign money, even though it was against the law. Other everyday transactions even went back to barter, where people traded goods directly instead of using money.

New coins were introduced in the 1990s: 10, 20, 50, and 100 Cedis in 1991, and 200 and 500 Cedis in 1996. These coins were used until 2007. However, the 10 and 20 Cedi coins were not used much because their value was so small.

The Third Cedi (2007–Present)

Because of the very high inflation, the second Cedi was worth very little. So, in 2007, the government decided to remove four zeros from the currency. This new money was officially called the "Ghanaian Cedi" (GH₵). For a few months in 2007, both the old and new Cedis were legal to use. By the end of 2007, most of the old money had been taken out of circulation. From January 2008, old banknotes could only be exchanged at banks.

On May 14, 2010, a GH₵2 banknote was released. This was to help people have a middle value note and reduce the need to print so many GH₵1 notes. This new note also celebrated 100 years since the birth of Kwame Nkrumah, Ghana's first president.

Due to continued high inflation and the Cedi losing value, the Bank of Ghana announced new 2-cedi coins and new 100 and 200-cedi banknotes on November 29, 2019. The existing 1 and 2 cedi banknotes are still legal, but they will slowly be replaced by coins to save money.

The third Cedi has continued to lose value since it was introduced. In 2014, its value dropped to a fourth of its original worth. The value stabilized for a short time at the end of 2014 because Ghana was getting help from the IMF.

The one pesewa coin is rarely used today because it can't buy much. In September 2021, the Bank of Ghana started taking GH₵1 and GH₵2 notes out of circulation. They want people to use the coins instead.

By August 2022, high inflation caused the Cedi's value to drop even more, with GH₵10 equaling about US$1. In September 2022, the yearly inflation rate was 37.2%, the highest since 2001. By October 2022, the Cedi became the worst-performing currency in the world. It had lost 60% of its value against the U.S. dollar since the end of 2021.

Coins of Ghana

The Bank of Ghana has been making all Ghanaian coins since 1958. Besides the coins used every day, they have also made special "commemorative" coins for important events.

Only coins that have been widely used are listed here. The "years of issue" means the coin was made more than once during that time, not necessarily every single year. Sometimes, new coins are kept back and released years later. This means you might find both old, worn-out coins and shiny new ones from the same year in circulation. The Bank of Ghana has not said if they hold back coins or if they stamp new coins with old dates.

First Cedi Coins (1965–1967)

First Cedi Coins
Image	Value	Description						Date of Issue
Front & Back		Front	Back	Metal	Weight	Diameter	Edge
5 pesewas (1958)	5 pesewas	Kwame Nkrumah (Words:) CIVITATIS GHANIENSIS CONDITOR (the Founder of Ghana) KWAME NKRUMAH	Five-pointed star (Words:) The value of the coin & 1965	Copper-nickel	4.1 g	22 mm	Smooth	19 July 1965
10 pesewas (1958)	10 pesewas				3.2 g	20 mm	Milled
25 pesewas (1958)	25 pesewas				8.65 g	27.4 mm
50 pesewas (1958)	50 pesewas				13.9 g	32 mm	Reeded

Second Cedi Coins

Second Cedi Coins
Image	Value	Description						Years of Issue
Front & Back		Front	Back	Metal	Weight	Diameter	Edge
½ pesewas (new cedi)	1⁄2 pesewa	Adowa drums (Words:) GHANA FREEDOM AND JUSTICE	Five-pointed star (Words:) The value of the coin & The year it was made	Bronze	2.9 g	20.2 mm	Smooth	1967
1 pesewa (new cedi)	1 pesewa				5.72 g	25.47 mm		1967–1979
2½ pesewas (new cedi)	2+1⁄2 pesewas	Cacao fruits (Words:) GHANA FREEDOM AND JUSTICE	The shield from Ghana's coat of arms (Words:) The value of the coin & The year it was made	Copper-nickel	3.2 g	19.5 mm		1967
5 pesewas (new cedi)	5 pesewas				2.85 g	19 mm	Reeded	1967–1975
10 pesewas (new cedi)	10 pesewas				5.6 g	23.5 mm		1967–1979
20 pesewas (new cedi)	20 pesewas				11.2 g	28 mm
50 pesewas (new cedi)	50 pesewas				12.5 g	32 mm	Milled	1979
1 cedi (new cedi)	1 cedi	Cowry shell (Words:) GHANA FREEDOM AND JUSTICE		Brass	11.9 g	30 mm	Smooth

Third Cedi Coins

The new coins are 1 pesewa (worth 100 old cedis), 5 pesewas (500 old cedis), 10 pesewas (1,000 old cedis), 20 pesewas (2,000 old cedis), 50 pesewas (5,000 old cedis), 1 cedi (10,000 old cedis) and 2 cedis (20,000 old cedis).

Banknotes of Ghana

The Bank of Ghana has been printing all Ghanaian banknotes since 1958. Many banknotes have been changed slightly over the years. This is part of the ongoing effort to fight against fake money. Also, the signature on the notes changes when a new person becomes the head of the Bank of Ghana. These changes happen often and are not listed here. The "years of issue" means the banknote was printed more than once during that time, not necessarily every single year.

First Cedi Banknotes (1965–1967)

First Cedi Banknotes
Image	Value	What's on it		Date of Issue
Front & Back		Front	Back
1 cedi (1965)	1 cedi	Kwame Nkrumah	Bank of Ghana building	19 July 1965
5 cedis (1965)	5 cedis		Supreme Court building
10 cedis (1965)	10 cedis		Black Star Gate
50 cedis (1965)	50 cedis		Seashore with palm trees
100 cedis (1965)	100 cedis		Kumasi Central Hospital
1000 cedis (1965)	1,000 cedis (Only for bank transfers)	Black Star	Bank of Ghana building

Second Cedi Banknotes (1967–2007)

1967 to 1979

Second Cedi – 1st Series
Image	Value	What's on it		Years of Issue
Front & Back		Front	Back
1 Cedi (1967)	1 cedi	Cocoa pods	Shield and sword	1967–1971
5 cedis (1967)	5 cedis	Animal carvings	Animal carvings	1967–1969
10 Cedi (1967)	10 cedis	Art projects	Small statues	1967–1970

Second Cedi – 2nd Series
Image	Value	What's on it		Years of Issue
Front & Back		Front	Back
1 cedi (1973)	1 cedi	Young girl	Cocoa farmer	1973–1978
2 cedis (1972)	2 cedis	Farmer	Fishermen	1972–78
5 cedis (1973)	5 cedis	Woman	Larabanga Mosque	1973–1978
10 cedi (1973)	10 cedis	Pipe smoker	Akosombo Dam

1979 to 2007

Second Cedi – 3rd Series
Image	Value	What's on it		Years of Issue
Front & Back		Front	Back
1 cedi (1979)	1 cedi	Young man	Basket weaver	1979–1982
2 cedis (1979)	2 cedis	Schoolgirl	Field workers
5 cedis (1979)	5 cedis	Old man	Lumberers
10 cedis (1979)	10 cedis	Young woman	Fishermen
20 cedis (1979)	20 cedis	Miner	Kente weaver
50 cedis (1979)	50 cedis (No longer used after 1982)	Old man	Cocoa farmers	1979–1980

Second Cedi – 4th Series
Image	Value	What's on it		Years of Issue
Front & Back		Front	Back	Start	End
10 cedi (1984)	10 cedis	W. O. II Larbi, Fred Otoo, E. Kwasi Nukpor	Rural bank building	1984	1984
20 cedis (1984)	20 cedis	Queen Mother Yaa Asantewaa	Miner, army officer, student, demonstrators		1986
50 cedis (1983)	50 cedis	Young man	Workers drying grain	1983
100 Cedis (1983)	100 cedis	Woman	Loading produce		1991
200 Cedis (1983)	200 cedis	Old man	Teacher and students		1993
500 cedis (1986)	500 cedis	Black star, fist, and "Gye Nyame" symbol	Cocoa and miner	1986	1994
1000 cedis (1991)	1,000 cedis	Diamonds	Cocoa harvest	1991	2003
2000 cedis (1994)	2,000 cedis	Adomi Bridge	Fishermen	1994	2006
5000 cedis (1994)	5,000 cedis	Coat of arms of Ghana	Cargo ships and logs
10000 cedis (2002)	10,000 cedis	The Big Six	Black Star Gate	2002
20000 cedis (2002)	20,000 cedis	Ephraim Amu	National Theatre of Ghana

Third Cedi Banknotes (2007–Present)

Third Cedi Banknotes
Image	Value	Size	Main Colour	What's on it						First Issued
Front & Back				Front			Back
1 Ghana Cedi	1 cedi	137 × 65 mm	Red	The Big Six, Black Star Gate			Akosombo Dam			3 July 2007
2 Ghana Cedis	2 cedis	140 × 67 mm	Beige	Kwame Nkrumah			Parliament House			14 May 2010
5 Ghana Cedis	5 cedis	141 × 68 mm	Blue	The Big Six, Black Star Gate			University of Ghana, The Balme Library			3 July 2007
	5 cedis	147 × 68 mm	Blue	James Emman Kwegyir Aggrey			Kwame Nkrumah vessel in Tweneboa, Enyenra, and Ntomme oil fields			7 March 2017 (special issue) 4 August 2017 (regular issue)
10 Ghana Cedis	10 cedis	145 × 71 mm	Yellow-green	The Big Six, Black Star Gate			Bank of Ghana			3 July 2007
20 Ghana Cedis	20 cedis	149 × 74 mm	Purple				Supreme Court
50 Ghana Cedis	50 cedis	153 × 77 mm	Brown				Christiansborg Castle
	100 cedis	157 x 80 mm	Cyan	The Big Six, Black Star Gate			Inside the Parliament of Ghana			2 December 2019
	200 cedis	161 x 83 mm	Orange	The Big Six, Black Star Gate			Jubilee House			2 December 2019

How the Cedi's Value Has Changed

The tables below show how many Ghanaian Cedis you would need to get one U.S. dollar over time.

The price of one US$ in GH₵

Images for kids

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  Cedi banknotes

See Also

• Economy of Ghana
• E-Cedi
• Older Ghanaian currencies:
  • Money cowry
  • Akan goldweights (gold dust)
  • Gold Coast ackey
  • British West African pound
  • Ghanaian pound