KEY HEADLINES & INSIGHTS
The government missed its T-bill target by GHS169 million, raising GHS5.21 billion against a GHS5.38 billion goal. Despite the shortfall, all bids were accepted across tenors, reflecting solid investor appetite.
SIC Insurance PLC (SIC) emerged as the top performer with a remarkable 10% increase in value, showcasing strong investor confidence, while NewGold Issuer Limited (GLD) faced a decline of 3.2%.
S&P Global Ratings has upgraded Ghana’s credit rating to CCC+ from ‘SD’ or Selective Default, as a result of the nearing completion of the country’s debt restructuring negotiations with its commercial creditors. The upgraded rating better reflects S&P’s forward-looking opinion of Ghana’s creditworthiness.
Ghana Gold Coin Pricing Update: 1 oz Now Selling at GH₵45,994.05 with 0.50 oz at GH₵23,376.46 and 0.25 oz at GH₵12,094.54 as of 9th May 2025. (Bank of Ghana, 2025)
PRIMARY DEBT MARKET ISSUANCE WEEK
Yields on Government of Ghana (GoG) treasury bills declined marginally across all tenors in the past week. The 91-day bill edged down by 7 basis points to 15.16%, signaling stability in short-term borrowing costs. Meanwhile, the 182-day and 364-day bills recorded higher declines of 7.33 and 15.73 basis points, respectively, closing at 15.70% and 16.80 %. This strong moderation of borrowing cost by GoG amid macroeconomic reforms.
| Security | Current Wk% | Previous Wk% |
|---|---|---|
| 91-Day GoG Bill | 15.1611 | 15.2333 |
| 182-Day GoG Bill | 15.7049 | 15.7783 |
| 364-Day GoG Bill | 16.8018 | 16.9591 |
Source(s): Bank of Ghana
GHANA FIXED INCOME MARKET VOLUME TRADED
The Ghana Fixed Income Market (GFIM) recorded a total trading volume of GH₵4.08 billion at the week's close, reflecting a sharp decline from the GH₵5.25 billion reported in the previous week. The total number of transactions recorded was 6,422, with Treasury bills dominating the market and accounting for 98.38% of the trades. Meanwhile, New Government of Ghana (GoG) Notes and Bonds contributed 1.12% to the total trading activity.
Trading activity for the week starting May 5 opened strongly, with total market turnover reaching GH₵753.1 million. This performance was largely driven by sustained investor demand for Treasury Bills and newly issued Government of Ghana (GoG) Notes and Bonds, reflecting growing interest in the short- to medium-term segment of the yield curve. Liquidity rose to GH₵933.4 million on May 6. The market plummeted to reach GH₵631.4 million on May 7, composing mostly of Treasury securities and new GoG issuances. The market momentum rebounded sharply to reach GH₵1,298.2 million by May 8. Following this performance, turnover dropped to GH₵463.9 million on May 9.
Week's Yield Curve
EQUITY MARKET
This week, trading on the local stock exchange saw a bullish performance in trading activity, with total share volume surging by 94% to reach 5,314,629 shares, compared to last week's 2,740,190 shares. The total traded value inched up by 44.26%, reaching GH₵44.95 million, compared to the previous week’s GH₵31.16 million, indicating higher-value transactions. Market capitalization experienced a gain, closing at GH₵140.25 billion, from last week's value of GH₵ GH₵137.77 billion.
Regarding market indices, the GSE Composite Index (GSE-CI) closed at 6,418.09, showing a 3.28% week-on-week gain, a 5.29% monthly loss, but a substantial year-to-date gain of 31.29%.
Week's Equities Top Gainers & Laggards
Moreover, the GSE Financial Stocks Index (GSE-FSI) also increased to 3,139.08 points, making it a weekly gain of 0.32%, a monthly gain of 0.86%, and a year-to-date gain of 31.85%.
EQUITY MARKET MOST TRADED STOCKS
| Ticker | Traded Volume | Price (GHS) |
|---|---|---|
| MTNGH | 3,774,307 | 3.19 |
| ETI | 870,221 | 0.90 |
| CAL | 372,509 | 0.65 |
| FML | 167,090 | 3.80 |
| GLD | 71,152 | 438.50 |
Source(s): Ghana Stock Exchange
TOP PERFORMING AFRICAN STOCK INDICES YEAR-TO-DATE
| Country | Index | Level | YTD% |
|---|---|---|---|
| Malawi | MSE ASI | 289,280.32 | ▲ 68.15 |
| Ghana | GSE-CI | 6,418.09 | ▲ 31.29 |
| Morocco | MASI | 17,765.30 | ▲ 20.25 |
| Tunisia | TUNINDEX | 11,313.05 | ▲ 13.66 |
| Tanzania | LuSE ASI | 17,161.58 | ▲ 11.14 |
Source(s): African Markets
COMMODITY MARKET
This week, the commodities market posted bullish performance, driven by notable price fluctuations. Gold prices surged from $3,231.9 to $3,335.4 per troy ounce week-on-week (w/w). The precious metal posted a 3.2% weekly gain.
Meanwhile, Brent crude oil futures posted a 4.27% weekly gain, surging from $61.29 to $63.91 per barrel, after the US and China agreed to reduce most tariffs on each other’s goods. Meanwhile, exerting bearish influence on oil, OPEC+ plans to accelerate output hikes in May and June.
Cocoa futures inched this week, climbing to $9,387 per ton from last week’s $9,127. This incline represents a weekly gain of 2.85%, pressured by a weaker US dollar and concerns over weather patterns for crop development in major producing countries. The rainy season in Ivory Coast, the world's largest producer of the commodity, began with above-average rainfall in some producing areas, raising projections for the mid-crop harvest of 2025.
Source(s): Yahoo Finance, Trading Economics
CURRENCY MARKET
Exchange rates declined over the past week as the cedi strengthened. The USD/GHS rate fell from 13.90 to 13.10. Similarly, the EUR/GHS rate dropped from 15.74 to 14.75, and the GBP/GHS rate decreased from 18.46 to 17.43.
Source(s): Bank of Ghana
DISCLAIMER: The information contained in this weekly update on the financial markets is intended for informational purposes only and should not be construed as financial, investment or other professional advice. The data are derived from internal and external sources that FFC Research finds reliable. FFC Research assumes no responsibility or liability for any actions taken based on the information contained in this report.
Research Analyst - Cedric Asante | Email: cedric.asante@firstfinancecompany.com
