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Economy in Africa: Here are the worst performing currencies of 2013-2022

26/01/2023
Source : ORISHAS FINANCE
Categories: Economy/Forex

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Twenty out of 41 African currencies saw their value divided at least in half over the ten-year period from early 2013 to the end of 2022 (followed by the Tunisian dinar, which is close to 50%, with a drop of 49.9%).

Poor economic health resulting from poor governance may explain the presence of several countries with significant natural resources among those whose currencies have collapsed the most. Indeed, among the twenty currencies, the value of ten is divided by at least three (followed by the Ethiopian birr and the Nigerian naira, whose exchange rate has been divided by 2.9). Three currencies have almost completely collapsed. A depreciation of close to 100%: the Sudanese pound (-99.2%), the Zimbabwe dollar (-99.2%) and the South Sudanese pound (97.5%) was recorded.

Three other currencies have lost about three-quarters of their value. These are the Sierra Leone (-77.0%), the Egyptian pound (-74.3%) and the Libyan dinar (-73.5%). Two saw a fall of just over 80%, or a five-fold decrease in their value; the Ghanaian cedi (-81.3%) and the Angolan kwanza (-81.2%). Then four lost about two-thirds of theirs: the Zambian kwacha (-70.8%), the Malawian kwacha (-67.2%), the birr (-65.9%) and the naira (-65.2%), followed by eight currencies that lost about half their weight: the Congolese franc (-55.0%), the Mozambican metical (-53.8%), the dollar the Liberian dollar (-53.2%), the South African rand (-50.3%), the Namibian dollar, the Eswatini lilangeni and the Lesotho loti (also -50.3%), followed by the Malagasy ariary (-50.0%).

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