Governor Asiama Speech-10th Anniversary of the Ghana Fixed Income Market (GFIM)
Source: bank_of_ghana
Date: 2025-11-12

10TH ANNIVERSARY OF THE GHANA FIXED INCOME MARKET (GFIM) THEME: “DEEPENING MARKETS, EXPANDING POSSIBILITIES” SPEECH BY DR. JOHNSON PANDIT ASIAMA GOVERNOR, BANK OF GHANA 12 NOVEMBER 2025 MÖVENPICK AMBASSADOR HOTEL Your Excellency, the President of the Republic, Honourable Minister for Finance, Distinguished guests, esteemed partners and friends, good afternoon. Ten years ago, we set out to build a bridge . A bridge between savings and investment, between stability and growth. We called it the Ghana Fixed Income Market. It began as an experiment in confidence – the belief that a transparent, well -regulated bond market could mobilise long- term capital and anchor our financial system. That belief has endured. From GHS 5.2 billion in trade volume at inception, cumulative trading has now surpassed GHS 1.2 trillion. In one decade, GFIM has moved from concept to cornerstone, connecting savers, investors, and institutions in a shared purpose: financing Ghana’s development with integrity and discipline. From the start, this was a collective project, born out of collaboration between the Bank of Ghana, the Ghana Stock Exchange, the Ministry of Finance, and our market participants , to transform a fragmented, bilateral system into a transparent, centralised platform. That partnership remains at the heart of its success. Our fixed-income market tells the story of how Ghana’s financial system has matured, not without turbulence, but with tenacity. Fixed-income markets do more than raise funds. They measure trust. Every auction, every secondary trade, whispers something about the credibility of fiscal policy, the steadiness of monetary policy, and the confidence investors hold in our collective resol ve. When that trust faltered during the recent debt crises, the market spoke. Trade volumes fell sharply, from GHS 230 billion in 2022 to GHS 98 billion in 2023. And when credibility began to rebuild, the market spoke again, rebounding to GHS 214 billion by October 2025, reflecting renewed investor confidence. A deep market allows the yield curve to speak truthfully about risk, maturity, and expectation. That ongoing dialogue between the market and the economy is how nations find their financial equilibrium. The years 2022 and 2023 tested that equilibrium. The domestic debt exchange was more than a financial operation; it was an emotional reckoning. Liquidity froze, yields spiked, and confidence wavered. Yet in that trial, three truths became clear: 1. Credibility is capital. Without it, no reform endures. 2. Predictability is confidence. Markets price stability before they price returns. 3. Coordination is protection. Fiscal and monetary alignment is the foundation of resilience. In this, Ghana is not unique. Other nations have faced similar tests. Jamaica executed two debt exchanges without default, relying on openness and dialogue. Greece rebuilt its market by strengthening post-trade transparency. Ghana’s experience belongs in t hat lineage, a story not of collapse, but of recalibration. Today, the macro indicators tell a renewed story. Inflation, once at 54 percent, has fallen to 8 percent within the target band. The cedi, which lost half its value, has appreciated more than 35 percent year-to-date. Reserves now cover nearly five months of imports, and fiscal accounts are back in primary surplus. But the real story is behavioural, not statistical. Behind every decline in inflation lies a rise in discipline. Behind every cedi of appreciation lies a recovery of trust. And behind every stable reserve figure lies better coordination between fiscal policy and market operations. As conditions improved, the GFIM responded instinctively. Dealers returned, secondary trading deepened, and yields began to normalise. The market once again mirrored Ghana’s recovery, confidently. And yet, as we celebrate the progress, the structure of the market still reveals gaps , government securities dominate activity, while corporate issuance remains limited. Having survived its first great test, the next decade must focus on resilience by design. First, Depth. We must operationalise an active repo and securities -lending framework to ensure continuous liquidity. South Africa’s Bond Exchange achieved similar stability in 2005 by turning static holdings into circulating collateral. Ghana can and must do the same. Second, Diversity. Our issuer base must widen. So far, corporates have raised about GHS 24 billion through GFIM, a commendable start, but from only a handful of issuers. At the same time, pension funds now hold over GHS 90 billion in GFIM assets, patient capital in search of productive use. The opportunity is clear: link long- term funds with new issuers through credit -enhancement tools and guarantee mechanisms. Nigeria’s sovereign sukuk and Kenya’s green- bond model demonstrate that diversification strengthens both the market and the economy. To support this shift, the GSE is taking a proactive step, launching an academy to prepare companies and boards to access the market and raise long -term finance. These initiatives show that market deepening is moving from plan to practice. Third, Digitalisation. We should build towards a real -time, end-to-end digital bond ecosystem , linking GFIM with GhIPSS and the RTGS platform for straight -through processing. Brazil’s SELIC and India’s NDS-OM systems show how technology reduces settlement risk and increases investor participation. If trading volumes can rebound by over GHS 100 bill ion within two years of crisis, then a deeper, more digital, and more diversified market is not ambition; it is our next logical step. But leadership will depend not on ambition alone , it will depend on execution, transparency, and continued coordination between all market actors. Ghana’s bond market now ranks among Africa’s most credible domestic platforms. With turnover around GHS 214 billion this year alone, GFIM can anchor regional capital -market integration under the AfCFTA Financial Integration Framework. Our goal is to make G hana the reference point for transparency, innovation, and sustainability in African fixed- income markets, linking pension funds, banks, and sovereign issuers in a network of trust. Nigeria’s FMDQ partnership with Afreximbank and Morocco’s Casablanca Finance City initiatives show what is possible. Ghana now has a credible opportunity to lead, not follow. Distinguished guests. If there is one lesson these ten years have taught us, it is this: markets rise and fall, but credibility endures. We did not merely build a trading platform; we built an institution rooted in trust. And trust, sustained through discipline, transparency, and partnership, remains our most valuable national asset. This anniversary is not just a celebration of a platform; it is a celebration of partnership. To the Ministry of Finance, thank you for maintaining predictable issuance calendars and transparent communication. To the dealers, custodians, and pension trustees, your resilience kept the market alive when others lost faith. To the SEC and GSE, your lea dership in governance and innovation continues to set the standard. And to our investors, local and foreign, thank you for your patience and your belief in Ghana’s long-term promise. As we enter the second decade of GFIM, let us seize this moment to build not just a market that trades bonds, but a market that transforms the economy. Let the next decade be remembered not just for growth in volume, but for growth in purpose – where government and private issuers stand side-by-side, where regional investors view Ghana as a benchmark, and where every reform strengthens resilience. Together, let us deepen our markets, expand our possibilities, and secure Ghana’s financial future. Thank you, and congratulations to the entire GFIM family.