Ghana’s Fixed Income Market (GFIM) generated a total turnover of GHS 2.06 billion on Wednesday, August 26, 2026. Government securities accounted for 99.92% of this activity, demonstrating their overwhelming dominance in the market.
Restructured Government of Ghana bonds, part of the Domestic Debt Exchange Programme (DDEP), contributed GHS 1.33 billion, representing 64.66% of the total turnover. Treasury bills added GHS 561.31 million, or 27.28% of market activity. This concentration shows investors are heavily focused on government-backed instruments, particularly medium- and long-dated securities.
This significant reliance on government debt reflects Ghana's ongoing efforts to manage its public finances and attract liquidity. The high proportion of government securities in market turnover indicates that investors perceive sovereign debt as a more reliable or liquid option compared to corporate instruments. This trend has been consistent since the completion of the Domestic Debt Exchange Programme, which restructured a substantial portion of Ghana's domestic debt.
Market data from the GFIM clearly illustrates this imbalance. Corporate securities generated a mere GHS 1.68 million from seven transactions, representing a tiny fraction of the overall market. This figure underscores the limited depth and liquidity in Ghana's corporate debt market, a long-standing challenge for private sector financing.
The continued dominance of government securities means that private companies face greater difficulty raising capital through bond issuance. This situation can hinder business expansion and economic diversification, as capital is primarily directed towards government financing. Policymakers will need to consider strategies to stimulate corporate bond market growth to support private sector development.
Within the DDEP segment, the February 2032 bond (GOG-BD-10/02/32-A6148-1838-9.10) was the most actively traded, recording GHS 544.04 million across 15 transactions. This single bond alone accounted for 40.89% of all DDEP turnover, closing at a yield of 14.52%. The February 2030 DDEP bond followed with GHS 380.18 million, representing 28.57% of DDEP activity, and closed at a yield of 14.14%.
Investors showed a clear preference for medium-to-long-dated DDEP bonds, suggesting they found sufficient compensation for extending their investment horizons. The 2032 and 2030 instruments together comprised over two-thirds of all DDEP turnover. This indicates a strategic positioning by investors seeking higher yields available further along the restructured government yield curve.
Treasury bill activity also showed concentration, albeit at the shorter end of the sovereign market. The 364-day bill segment accounted for GHS 379.49 million, or 67.61% of total Treasury bill turnover. The 91-day bills generated GHS 156.65 million, representing 27.91% of activity. This highlights a dual investor strategy, with some seeking longer-term DDEP yields and others preferring the shorter-term liquidity of Treasury bills.
The most actively traded Treasury bill was the GOG-BL-23/11/26-A7100-2021-0, which generated GHS 140.14 million from 5,105 transactions. It closed at a yield of 5.14%. This specific bill, along with other selected longer Treasury maturities, attracted significant interest, further underscoring investor selectivity within the government debt market.
In stark contrast, newly issued Government of Ghana bonds saw modest activity, with only GHS 300,000 traded. Old Government of Ghana bonds recorded GHS 20.00 million from a single transaction. This indicates that while government debt is dominant, investor interest is highly selective, focusing on specific maturities and restructured instruments rather than new issuances or older, less liquid bonds.
Corporate bond trading remained exceptionally thin, with total turnover of only GHS 1.68 million from seven transactions. Ghana Cocoa Board securities accounted for all recorded corporate activity. The CMB-BD-28/08/28-A6301-1675-13.00 led this segment with GHS 1.33 million from five trades. This illustrates the significant challenge for non-sovereign entities to access capital through the bond market in Ghana.
The overall market trend points to a continued concentration of liquidity in government securities. This situation provides stability for government financing but limits options for corporate fundraising. Future policy initiatives may need to focus on developing a more robust and attractive corporate bond market to foster broader economic growth and reduce the reliance on sovereign debt for market liquidity.