Stable macroeconomy crucial for sustaining Ghana’s capital market – Stanbic Executive
The Vice President of Debt Capital Markets & Distribution at Stanbic Bank Ghana, Baffour Agyarko Kwakye, has stated that the sustainability of Ghana’s capital market hinges on a stable macroeconomic environment.
Speaking during a panel discussion at the West Africa Bond Market Conference on the theme “The Opportunities and Challenges of Developing Africa’s Bond Market – Demand, Supply, and Liquidity”, Mr Kwakye underscored the importance of coordinated regulatory collaboration and macroeconomic resilience as central pillars for a thriving bond market.
“Restoring and maintaining macroeconomic stability in Ghana is essential to the recovery and sustained development of our capital markets. Following the 2022 Domestic Debt Exchange Programme, it is clear that trust and investor confidence are the lifeblood of any successful bond market. Without macroeconomic stability, it becomes increasingly difficult to attract and retain investment,” he said.
Mr Kwakye noted that Ghana’s capital market has undergone significant stress in recent years, particularly during the domestic debt restructuring exercise, but remains a critical vehicle for long-term financing for both the public and private sectors. He acknowledged the progress made by key stakeholders, particularly the Ghana Stock Exchange (GSE), in rebuilding confidence and creating a more resilient and responsive capital market ecosystem.
“I want to take a moment to commend the Ghana Stock Exchange for the tremendous support they continue to provide to market participants,” he said.
He further advocated for enhanced collaboration among regulators, especially between the GSE, the Securities and Exchange Commission (SEC), and the Bank of Ghana, to address structural challenges and unlock the full potential of Ghana’s bond market.
“Often, we see that regulatory silos can stall progress. But with more strategic collaboration, some of the persistent issues we face could be resolved more efficiently, and this would significantly deepen the resilience and liquidity of our bond market,” Mr Kwakye added.
The West Africa Bond Market Conference is a leading industry event jointly hosted by the Ghana Stock Exchange and the International Capital Market Association (ICMA). The high-level gathering convenes senior market participants, including policymakers, regulators, central banks, financial institutions, and market infrastructure providers, to engage in discussions on the current state and future direction of West Africa’s bond markets. It also serves as a platform for knowledge sharing, regional cooperation, and the promotion of deeper, more integrated capital markets across the sub-region.