Ghana’s central bank has inaugurated two high-level committees to accelerate the listing of domestic banks on the Ghana Stock Exchange (GSE), a move aimed at strengthening capital buffers, improving transparency and deepening the country’s capital markets.

The Bank of Ghana (BoG) said the initiative forms part of broader efforts to stabilise the banking sector following recent reforms and to align Ghana’s financial system with international best practices.

According to the BoG, the committees will work with regulators, banks, market operators and other stakeholders to identify obstacles to bank listings and propose practical measures to encourage more lenders to raise capital through the stock market.

Speaking at the inauguration ceremony, BoG officials said increased listings would enhance corporate governance, promote market discipline and provide banks with sustainable long-term funding.

Strengthening capital and transparency

Ghana’s banking sector has undergone significant restructuring in recent years, including a clean-up that reduced the number of licensed banks and raised minimum capital requirements.

While the reforms strengthened balance sheets, regulators say more needs to be done to improve transparency and broaden funding sources.

“Listing on the stock exchange promotes accountability, disclosure and stronger governance structures,” the central bank said, adding that publicly listed banks are generally better positioned to attract both domestic and foreign investment.

Currently, only a handful of banks are listed on the GSE, limiting the sector’s representation on the exchange and constraining options for investors seeking exposure to financial stocks.

The BoG said the new committees would review regulatory frameworks, listing requirements, tax considerations and market incentives that could make equity listings more attractive to banks.

Mandate of the committees

One committee will focus on policy and regulatory alignment, including coordination between the central bank, the Securities and Exchange Commission (SEC) and the Ghana Stock Exchange.

The second committee will engage directly with banks to assess readiness, address concerns and develop tailored pathways to listing.

The committees are also expected to examine alternative listing structures, such as phased or partial listings, and assess how capital market instruments can support banks’ growth strategies.

Market operators say many banks have been reluctant to list due to concerns over valuation, disclosure requirements and market liquidity, as well as the cost of compliance.

Capital market development

Analysts say increasing the number of bank listings could have a significant impact on Ghana’s capital markets, improving liquidity, market depth and investor confidence.

“The banking sector is central to the economy.

Bringing more banks onto the stock exchange would diversify the market and make it more attractive to institutional investors,” said a local investment analyst.

A stronger equity market could also reduce pressure on government borrowing by providing alternative investment opportunities for pension funds and asset managers.

The GSE has, in recent years, introduced reforms aimed at boosting listings and trading activity, including market segmentation, product diversification and investor education initiatives.

Regional and investor implications

The BoG’s push comes at a time when Ghana is seeking to restore macroeconomic stability and rebuild investor confidence following debt restructuring and fiscal adjustments.

By encouraging banks to access equity markets, authorities hope to reduce reliance on short-term funding and enhance resilience to economic shocks.

The central bank said it would continue to work closely with all stakeholders to ensure that the initiative translates into concrete listings over the medium term.

The committees are expected to submit recommendations within the year, with implementation to follow, subject to regulatory approvals.