Which currency is used in Ghana?

Travel Destinations

By Kristy Tolley

Currency in Ghana

Currency plays an essential role in the economy and daily life of every country globally. In Ghana, the currency used is the Ghanaian Cedi (GHS), and it is the only legal tender that citizens, residents, and visitors can use to purchase goods and services. Understanding the currency in Ghana is vital for anyone planning to visit the country either for business, vacation, or any other purposes.

Brief History of Currency in Ghana

Ghana, like many African countries, has a history of using different currencies before the introduction of the Ghanaian Cedi. The British West African Pound was the currency used in Ghana before the country gained independence in 1957. However, Ghana introduced its currency, the Ghanaian Cedi, in 1965, replacing the Ghanaian Pound. The Cedi has undergone several changes over the years, including re-denominations in 2007 and 2019, which aimed at addressing issues such as inflation and currency depreciation.

The Ghanaian Cedi Today

Currently, the Ghanaian Cedi (GHS) is the official currency used in Ghana, and it is issued by the Bank of Ghana. The Cedi has a variety of denominations, including banknotes and coins, which are in circulation. The banknotes come in denominations of GHS 1, 2, 5, 10, 20, 50, and 100, while the coins are in denominations of GHS 1, 2, and 5 pesewas. The use of the Cedi is prevalent across the country and is widely accepted for transactions of all sizes, from buying groceries to paying for services.

What is the Exchange Rate?

The exchange rate of the Cedi against other currencies varies depending on the international foreign exchange market. The Bank of Ghana regulates the exchange rates, which are updated regularly on their website and other financial institutions. It is essential to check the exchange rate before exchanging any currency to ensure that you get the best rate. Visitors can also use online currency converters to calculate the exchange rate.

Coins and Banknotes in Ghana

The banknotes in Ghana come in different colors and sizes, making it easy to identify each denomination. The coins are smaller in size and are used for smaller transactions such as buying snacks. It is essential to handle coins carefully as they can easily be lost or misplaced. Visitors should familiarize themselves with the denominations of coins and banknotes to avoid making any mistakes during transactions.

Accepting Foreign Currency in Ghana

Although the Ghanaian Cedi is the official currency used in Ghana, some businesses may accept foreign currency payments. However, this is at the discretion of the business owner, and visitors should always confirm before making any payments in foreign currency. It is essential to note that foreign currency payments may attract additional charges and may not be the best option due to the exchange rate.

Where to Exchange Currency in Ghana

There are various places to exchange currency in Ghana, including banks, forex bureaus, and hotels. Visitors should be careful when exchanging currency and ensure that they do so at authorized and reputable places to avoid fraud. It is advisable to use forex bureaus as they offer better exchange rates compared to banks and hotels.

Using Credit and Debit Cards in Ghana

Most businesses in Ghana accept credit and debit cards, including Visa and Mastercard. However, visitors should carry cash as some businesses may not accept cards or may have issues with their point of sale (POS) terminals. It is advisable to inform your bank of your travel plans and ensure that your card is authorized for international transactions to avoid any issues.

ATMs in Ghana: Availability and Fees

ATMs are widely available in Ghana, with most banks having several ATMs across the country. However, some ATMs may charge fees for withdrawals, mainly if the card is issued by a foreign bank. It is essential to check with your bank before making any withdrawal to avoid any surprises.

Tips for Handling Currency in Ghana

Visitors should always carry some cash, especially when traveling to remote areas where ATMs may not be readily available. It is also essential to be careful when handling currency and avoid flaunting large amounts of cash. Visitors should be aware of their surroundings and avoid sharing sensitive information such as pin numbers and bank account details.

Conclusion: Navigating Currency in Ghana

Understanding the currency in Ghana is essential for anyone planning to visit the country. The Ghanaian Cedi is the official currency used in Ghana, and visitors should familiarize themselves with the denominations of coins and banknotes to avoid making any mistakes during transactions. Foreign currency payments may attract additional charges, and it is essential to exchange currency at reputable and authorized places.

Resources for Further Information

The Bank of Ghana website is an excellent resource for information on the Ghanaian Cedi and exchange rates. Visitors can also contact their banks before traveling to Ghana for information on their travel plans and the use of credit and debit cards. Forex bureaus are also an excellent source of information, and visitors can ask for advice and tips on handling currency in Ghana.

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Kristy Tolley

Kristy Tolley, an accomplished editor at TravelAsker, boasts a rich background in travel content creation. Before TravelAsker, she led editorial efforts at Red Ventures Puerto Rico, shaping content for Platea English. Kristy's extensive two-decade career spans writing and editing travel topics, from destinations to road trips. Her passion for travel and storytelling inspire readers to embark on their own journeys.

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