Strengthen Governance to Access Capital Markets – Economist Advises Ghanaian Firms
By Nii Trebi Hammond
Economic Analyst Emmanuel Boateng is urging Ghanaian businesses particularly medium and large-scale enterprises, to strengthen their corporate governance structures and improve financial disclosure practices as they seek to tap into domestic capital markets for long-term financing.
His call follows the release of a new World Bank Report on Financing Firm Growth, which highlights a global rise in companies turning to their domestic capital markets to raise expansion funds. The report notes that firms with strong governance frameworks and transparent financial reporting are more likely to attract investor confidence and secure affordable capital.
Mr. Boateng, speaking on the Business Breakfast on Zed, said many Ghanaian firms continue to rely heavily on bank loans, despite the growing pool of long-term funds available in the capital markets. However, he warned that without stronger governance systems, unreliable financial statements, and weak disclosure practices, most companies will be unable to meet listing requirements or appeal to investors.
“Improving corporate governance and financial reporting is no longer optional. It is essential for any firm that wants to raise long-term financing and remain competitive,” he emphasised.
His comments reinforce growing concerns from industry experts who argue that weak corporate governance remains a major driver of business failures within Ghana’s indigenous private sector. Analysts have repeatedly called for reforms in how company directors are appointed, trained, and held accountable, stressing that poor governance continues to erode investor confidence and limit firm growth.
Mr. Boateng noted that with global capital shifting toward transparent and well-governed firms, Ghanaian companies must position themselves more strategically if they hope to benefit from emerging financing opportunities.
