The Governor of the Bank of Ghana has announced the introduction of new GH¢100 and GH¢200 notes and GH¢2 coins. The Governor announced this at a press conference in Accra on Friday.
The new notes have become necessary due to the devalued Ghana Cedi over the past 12 years since the redenomination exercise. The redenomination exercise eroded four zeros from currency to keep pace with developments of the currency. It was to introduce efficiency in the economy and to remove the dead-weight burden associated with transactions. The highest denomination then was the GH¢50.
After redenomination, the GH¢1 became equivalent to US$1. However after 12 years, sustained periods of high inflation and the perennial depreciation of the currency has eroded in real terms the face value of the series of notes,” he said.
There is already mixed reactions from the public on the necessity of introducing higher-denominated currency. Among reactions are the the cost of introducing the new notes to the nation and the tax payer.