The Ghana Stock Exchange Composite Index has gained almost 20 percent since the year began in dollar terms, the most among benchmarks tracked by Bloomberg.
“We can’t discount the sentiment factor, the optimism in the market in terms of Ghana being one of the fastest-growing economies in Africa,” Karl Ocran, head of investments at Accra-based Frontline Capital Advisors, said by phone. Investors are attracted by strong economic growth and stabilizing inflation. “Valuations on the market are still cheap,” he said.
Ghana’s economy will grow 6.8 percent this year, the ministry of finance forecasts, while the central bank foresees inflation in a band of 6 percent to 10 percent by the end of the year, down from 11.8 percent in December.