Finance Minister Dr. Ato Forson Engages Pension Funds on Revival of Ghana’s Domestic Capital Market
Minister for Finance, Dr. Cassiel Ato Forson, has underscored the need for the reopening of Ghana’s capital markets, emphasizing the critical role of pension funds in reviving investor confidence and stabilizing the economy.
Following a meeting with managers of pension funds, Dr. Forson stated in a post on X that pension funds are pivotal in re-establishing market activity, as their core function involves investing in bonds.
“I had the privilege of meeting with pension funds to discuss our shared responsibility in strengthening Ghana’s financial markets. To achieve this, we need to re-open capital markets, and pension funds have a crucial role to play. As I emphasized, the very purpose of pension funds is to invest in bonds,” he noted.
He further highlighted the collective benefits of a stable financial system, stating that a reopened capital market would enhance investor confidence, stabilize the currency, and lower inflation.
Dr. Forson was joined by the Minister for Labour, Jobs, and Employment, Dr. Rashid Pelpuo, who welcomed the government’s initiative and urged stakeholders to support the effort to reopen the bond market.
Representatives of pension funds, however, expressed cautious optimism, citing past challenges in the financial sector. In response, the Finance Minister assured them of the government’s commitment to building a resilient financial system that safeguards investments.
“We acknowledge these concerns and assure all stakeholders that this time, we are committed to building a sustainable and resilient financial system,” he added.
Reaffirming the government’s fiscal discipline, Dr. Forson declared that Ghana would not default on its financial obligations again, particularly in the years ahead.
“Ghana will not default—ever again, not on my watch. We are fully aware of our financial obligations in 2027 and 2028 and beyond, and we will not wait until then to build the necessary buffers. Instead, we are operationalizing the sinking fund to provide strong backing for longer-dated bonds,” he assured.
The meeting marks a key step in the government’s efforts to strengthen market confidence and encourage renewed investment in Ghana’s capital markets.
