Bond Market Turnover Rises to GH¢6.39 Billion
By Praisebell Rosemond Larbi
Activity in Ghana’s secondary bond market picked up modestly last week, with turnover rising 20.69% week-on-week to GH¢6.39 billion, reflecting steady but selective investor participation.
Market activity remained concentrated in the middle of the yield curve, with bonds maturing in 2031 and 2034 accounting for 60.9% of traded volumes, transacting at a weighted-average yield of 15.59%.
The 2027–2030 segment represented 25.3% of total activity, trading at a slightly lower weighted-average yield of 14.43%, while the long end of the curve saw limited participation, with tenors from 2035 to 2038 contributing only 13.7% of volumes at a weighted-average yield of 15.98%.
Analysts attributed the increase in turnover to the recent 250-basis-point cut in the Bank of Ghana’s policy rate, which has reset the pricing backdrop and driven a broad repricing across the yield curve.
According to Databank Research, “The policy rate adjustment has improved bond market pricing, and we expect investor activity to remain anchored in the belly of the curve in the coming weeks. Returns remain attractive without materially increasing duration risk.”
Investors appear to be favouring medium-dated instruments, balancing the desire for higher yields with the need to manage duration exposure amid ongoing monetary easing.
The secondary bond market’s performance comes amid broader financial market stability, supported by declining inflation, easing interest rates, and cautious investor optimism. Market participants are monitoring macro indicators, fiscal policy execution, and external conditions, which could continue to shape bond yields and liquidity in the near term.
The upward trend in turnover signals growing investor confidence, though trading remains selective, highlighting the importance of risk-adjusted positioning in Ghana’s fixed-income market as the economy navigates post-IMF programme dynamics.
