Ghanaian Stock Exchanges
It took nearly twenty years from the time when the concept of establishing a stock exchange in Ghana originated to the time it was actually implemented. While the move would have greatly helped to improve the local economy, providing an efficient vehicle for the mobilizing and allocation of capital for economic development and growth in the country, it was not until 1989 that efforts to establish a stock exchange were given the priority needed in order to make it a reality. Eventually the Ghana Stock Exchange (GSE) was born. In July 1989, the GSE became incorporated as an inoperative private company and eventually in January 1991, the GSE was officially launched. Three years later it was moved to its present location on the 5th floor of Cedi House in Liberia Road, Accra. Today it is the principal stock exchange of Ghana and has about 30 listed companies and 2 corporate bonds. Any security type can be listed on the stock exchange provided that they meet the existing criteria. Some of the companies listed on the exchange include AngloGold Ashanti Limited, Ecobank Transnational Incorporated, Guinness Ghana Breweries Ltd, SG-SSB Ltd and Accra Brewery Company Ltd.
Ghana has an abundance of natural resources, and a large percentage of the population are farmers. The biggest agricultural products produced in the country are cocoa and cocoa products, timber, coconuts, shea nuts and coffee. Ghana also exports other agricultural products such as pineapples, cashews and pepper. Minerals that are mined and exported include gold, diamonds, bauxite and manganese ore. Ghana’s only commercial oil well was shut down after seven years and now the country is looking into the use of natural gas as an alternative power source as well as searching for other sources of oil and gas. Tourism also contributes to the local economy in a big way, making it the third largest foreign income earner. Because of this, the local government not only supports tourist activity but is striving to develop it further.
Currently Ghana’s GDP is fairly well divided between the three different sectors. While agriculture accounts for 38.8%, industry accounts for 24.6% and services for 37.7%. Imports and exports continue to make a significant contribution to the country’s economy with the Netherlands, United Kingdom, Nigeria and China being its main trade partners, although it also conducts business with France, Germany, Japan, Italy, Turkey, the US, and South Africa. The Ghana Stock Exchange plays an integral role in the economy of the country.