Dr. Daniel Amateye Anim, Chief Economist at PIED Africa, has advised the government to prioritize credibility, strong governance, and investor confidence in selecting new bookrunners for the domestic bond market.
Speaking in an interview on recent developments around Ghana’s reopening of the local bond market, Dr. Amateye Anim emphasized that trust is the backbone of financial and capital markets, and any misstep in institutional selection could undermine investor confidence and derail the success of future issuances.
“In financial markets, trust is very important and investor confidence is key, once institutions have previously demonstrated weaknesses in corporate governance or mismanagement of funds, it would be unwise for the government to engage them again,” he said.
He cautioned that including institutions viewed as lacking the capacity or integrity to manage public funds could erode confidence and reduce participation in government securities.
“The government must select institutions that command trust in the eyes of investors, this is critical for ensuring smooth operations and strong performance of any financial instruments issued,” Dr. Amateye Anim noted.
As Ghana prepares to reopen its domestic bond market following months of restructuring and debt servicing, the Ministry of Finance is reportedly considering appointing new bookrunners, financial institutions that manage the issuance and marketing of bonds. The previous mandate for local bookrunners expired earlier this year, with several analysts calling for fresh competition and reforms in the selection process.
Dr. Amateye Anim urged the government to tread cautiously and ensure that only institutions with proven governance structures and capable leadership are appointed.
He stressed that rebuilding investor trust after the disruptions of recent years will depend significantly on the credibility of the institutions involved.
“If credible firms are chosen, those with strong governance and trusted leadership will pave the way for renewed investor interest and support the country’s broader fiscal objectives,” he said.
Ghana’s domestic bond market remains a critical source of financing for government operations, particularly in the wake of ongoing debt restructuring and IMF-backed fiscal consolidation.
He believe the selection of trustworthy bookrunners will be a litmus test of the government’s commitment to transparency and reform.
Dr. Amateye Anim reiterated that institutional credibility must not be compromised for political or legacy reasons.
“This is about the future of Ghana’s financial market and restoring faith among investors, both domestic and international,” he said.
