Accra: Baffour Agyarko Kwakye, Vice President of Debt Capital Markets and Distribution at Stanbic Bank Ghana, has said that the sustainability of Ghana’s capital markets is dependent on a stable macroeconomic environment.
According to Ghana News Agency, Mr. Kwakye spoke on a panel at the West Africa Bond Market Conference, addressing the topic ‘The Opportunities and Challenges of Developing Africa’s Bond Market – Demand, Supply, and Liquidity.’ He emphasized the importance of coordinated regulatory collaboration and macroeconomic resilience as central pillars for a thriving bond market.
Mr. Kwakye stated that restoring and maintaining macroeconomic stability in Ghana is essential for the recovery and sustained development of the country’s capital markets. He noted that the 2022 Domestic Debt Exchange Programme highlighted the need for trust and investor confidence, which are vital for any successful bond market. Without macroeconomic stability, attracting and retaining investment becomes increasingly challenging.
He further highlighted that Ghana’s capital market had experienced significant stress in recent years, particularly during the domestic debt restructuring exercise, but it remains a critical vehicle for long-term financing for both the public and private sectors.
Acknowledging the efforts made by key stakeholders, including the Ghana Stock Exchange (GSE), Mr. Kwakye praised their role in rebuilding confidence and creating a more robust capital market ecosystem. He commended the GSE for their ongoing support to market participants.
Mr. Kwakye also called for enhanced collaboration among regulators, particularly between the GSE, the Securities and Exchange Commission (SEC), and the Bank of Ghana, to address structural issues and fully realize the potential of Ghana’s bond market. He highlighted that regulatory silos could hinder progress, but strategic collaboration could resolve persistent issues more efficiently, thus deepening the resilience and liquidity of the bond market.
The West Africa Bond Market Conference is a premier industry event jointly hosted by the Ghana Stock Exchange and the International Capital Market Association (ICMA). This high-level gathering brings together 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. The conference serves as a key platform for knowledge exchange, regional collaboration, and the promotion of deeper, more integrated capital markets across the sub-region.
