Ghana’s Fixed Income Market processed GH¢1.78 billion across 1,401 transactions on Thursday, January 29, 2026, marking one of the highest daily volumes recorded in early 2026 as investors maintained robust appetite for government securities.
New Government of Ghana (GOG) notes and bonds dominated trading with GH¢1.40 billion through 142 transactions, representing 79 percent of total market activity. The session’s most actively traded instrument was a GOG bond maturing February 11, 2031, carrying an 8.95 percent coupon, which recorded GH¢302.22 million in volume across 13 transactions. The security traded at a yield of 15.23 percent with a closing price of 78.41 cedis per 100 cedis face value.
Treasury bills captured GH¢302.76 million through 1,248 separate deals, accounting for 17 percent of trading volume. The most actively traded treasury bill was an instrument maturing December 7, 2026, which saw GH¢99.24 million change hands across seven transactions at a closing price of 90.01 cedis.
Corporate bonds generated GH¢31.30 million in trading volume through seven transactions. A Consolidated Bank Ghana bond maturing August 28, 2028, carrying a 13.00 percent coupon, accounted for GH¢30 million in a single transaction, closing at 92.82 cedis.
Sell and buyback trades involving GOG notes and bonds added GH¢46.60 million across four transactions, providing liquidity for investors seeking short term financing against longer dated securities as collateral. The highest value repo transaction involved a GOG bond maturing August 15, 2028, carrying a 10.00 percent coupon, which saw GH¢40.05 million change hands across two deals at a yield of 14.89 percent and a closing price of 89.91 cedis.
Old GOG notes and bonds recorded zero trading activity during Thursday’s session, continuing a pattern that has characterized the market throughout early 2026 as investors concentrate on either highly liquid treasury bills or newly issued government bonds.
The substantial trading volume on Thursday represents a significant increase from typical daily activity levels recorded earlier in January. Market data shows considerable weekly variation, with some sessions processing less than GH¢1 billion while others surge past GH¢2 billion depending on maturity schedules and investor positioning.
The elevated yields visible in Thursday’s trading continue reflecting risk premiums that investors demand for holding Ghanaian government debt despite improved macroeconomic fundamentals. The 15.23 percent yield on the most actively traded bond indicates that medium to long term government securities still carry significant rate structures even as inflation has fallen into single digits.
Ghana’s fixed income market has recovered strongly throughout 2025 following significant disruption in 2023 from the Domestic Debt Exchange Programme. Managing Director of the Ghana Stock Exchange, Abena Amoah, revealed recently that cumulative trading volume from January to October 2025 crossed the GH¢200 billion mark, positioning the market to achieve pre DDEP levels.
The market celebrated its 10th anniversary in November and December 2025, having traded over GH¢1 trillion in securities since inception in August 2015. The platform has become one of Sub Saharan Africa’s most liquid fixed income venues outside South Africa and Nigeria.
The dominance of new GOG bonds over treasury bills in Thursday’s session marks a shift from typical patterns, where shorter duration instruments usually capture the majority of trading volume. Market participants typically favor treasury bills for their liquidity and flexibility, matching these short term assets against deposit liabilities.
However, recent trading patterns suggest some investors are extending duration to capture yields on medium term government securities before anticipated further rate declines following the Bank of Ghana’s 250 basis point policy rate reduction to 15.5 percent on January 28. The central bank’s decision to ease monetary policy reflects confidence that inflation will remain within target ranges even as growth support becomes a priority.
The government faces significant refinancing needs in 2026 as domestic bonds mature following DDEP restructuring. Finance ministry officials have indicated they will use a combination of treasury bills, medium term notes, and bonds to meet financing requirements while maintaining a balanced maturity profile.
Government’s zero Bank of Ghana financing policy announced in the 2026 Budget means all deficit financing will come through market based instruments rather than central bank advances. This structural change requires sustained investor confidence in government securities across the maturity spectrum.
Treasury bill rates have fallen dramatically from 28.9 percent at the peak of the debt crisis to current levels around 10.7 percent, representing 14 year lows. The compression in short term rates reflects restored confidence in Ghana’s fiscal management, single digit inflation, and successful completion of the International Monetary Fund Extended Credit Facility programme scheduled to end in May 2026.
Medium term government bonds maturing between 2027 and 2037 trade at yields ranging from approximately 14.5 percent to 16.0 percent according to recent market data. The yield curve reflects investor perceptions about Ghana’s medium term fiscal trajectory and substantial refinancing challenges over coming years.
Corporate bond activity remains limited despite Thursday’s relatively strong volume. Only eight corporate issuers currently maintain active bonds trading on the Ghana Fixed Income Market, down from 12 companies previously. Since the market’s establishment, corporations have raised GH¢24.32 billion through bond issues, providing an alternative funding source beyond bank loans.
The limited depth in corporate debt reflects various factors including company preferences for bank financing, regulatory requirements for bond issuances, and investor concentration in government securities perceived as lower risk. The Ghana Stock Exchange aims to expand corporate participation significantly, setting targets to admit 100 companies to the fixed income market while growing the number of Ghanaians holding securities accounts to 10 million from the current two million.
Looking ahead, market participants expect continued strong demand for government securities as improved macroeconomic fundamentals attract both domestic and international investors. However, analysts caution that global interest rate trends, particularly decisions by the United States Federal Reserve, could impact portfolio flows into emerging market bonds including Ghana.
Sustained capital inflows depend on maintaining macroeconomic stability and avoiding policy reversals that could spook investors. Policy continuity regarding IMF programme commitments and fiscal discipline will reassure market participants that 2025’s gains rest on solid foundations rather than temporary improvements.
The cedi appreciated approximately 40 percent against the US dollar throughout 2025, enhancing stability in the debt market and reducing currency risk for foreign investors. Maintaining exchange rate stability will prove crucial for attracting international participation in upcoming government bond auctions.
Thursday’s robust trading activity positions the market for what could be another strong year following 2025’s recovery. Whether the momentum continues depends on government’s ability to meet fiscal targets, maintain inflation within the Bank of Ghana’s 6 to 8 percent medium term range, and successfully manage refinancing challenges without triggering renewed market volatility.
