7 worst performing currencies in Africa in 2022

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Hanke, a professor at Johns Hopkins University, explains that the currencies of the countries on his list have suffered massive devaluations against the US dollar since January 2020. Hanke’s currency watch list below shows the order of ranking of inflation rates and currency devaluations of countries. Indeed, inflation rates and currency devaluations meet at the hip like conjoined twins.

Here are the 7 worst performing currencies in Africa in 2022

According to the latest ranking from Hanke’s Currency Watchlist, the Zimbabwean dollar was ranked the worst performing currency in Africa against the US dollar. The Zimbabwean dollar has depreciated against the USD by 97.33% since January 2020. “Zimbabwe must get rid of the Zim dollar and adopt the USD immediately,” Hanke said in a Twitter post.

Sudan comes second. The Sudanese pound has depreciated 84.95% against the US dollar since January 2020. According to Hanke, the only way to save the Sudanese pound and its economy is to install a currency board.

South Sudan ranks third on the list after the national currency has depreciated 50.79% against the US dollar since January 2020. According to Hanke, South Sudan’s economic death spiral never ends .

Nigeria ranks 4th on the list of worst performing currencies in Africa and 11th in the world as the value of the currency has depreciated by 48.87% against the US dollar since January 2020.

Ghana ranks 5th in this week’s Hanke’s #CurrencyWatchlist of worst performing currencies in Africa. According to Hanke, the Ghanaian cedi has depreciated by 42.57% against the US dollar since January 2020. “To save the cedi, Ghana needs to mothball its central bank and install a currency board,” said Hanke in a post on his Twitter page.

Malawi ranks 6th in Hanke’s #CurrencyWatchlist this week. The kwacha has depreciated against the US dollar by 39.54% since January 2020, by metric, and is yet another central bank junk currency,” Hanke said in a Twitter post.

Sierra Leone ranks 7th in Hanke’s #CurrencyWatchlist this week. The leone has depreciated by 31.23% against the US dollar since January 1, 2020. According to Hanke, the redenomination of SLE’s currency has done nothing to end SLE’s economic death spiral.

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