The Ghana Stock Exchange (GSE) has emerged as Africa’s best-performing stock market in local currency terms as of the end of August 2026, delivering a remarkable 71.27% return to investors.
But while the spectacular rally has strengthened investor confidence and placed Ghana firmly in the spotlight, financial market analyst and President of Women in Forex Ghana, Ms Gifty Annor-Sika Asantewah, has warned that investors should not look at the headline returns without considering currency movements.
In an exclusive interview with The Vaultz News, Ms Asantewah described the GSE’s performance as “a significant demonstration of renewed investor confidence,” while cautioning that exchange rate movements could substantially affect the actual returns enjoyed by foreign investors.
“The 71.27% return in local currency is impressive, and it tells us that investors who positioned themselves in Ghanaian equities have been rewarded significantly. However, an investor who measures performance in US dollars must also consider what happened to the cedi during the same period.”
Ms Gifty Annor-Sika Asantewah
GSE Delivers Stunning 71% Return
The GSE ranked first among 14 African stock markets in local currency terms after recording a 71.27% return as of August 31, 2026.
In dollar terms, however, Ghana placed second behind Nigeria, recording a 59.09% return. Nigeria posted a significantly higher 153% dollar-denominated return while delivering a 53.38% return in local currency terms.
According to Ms Asantewah, the difference between local and dollar returns highlights an important issue for investors assessing Ghana’s equity market.
“The numbers are telling us two different stories. In cedi terms, Ghana is leading Africa. In dollar terms, Ghana remains exceptionally strong, but the gap shows us that currency performance matters.”
Ms Gifty Annor-Sika Asantewah
She noted that investors should therefore avoid judging market performance solely from the GSE Composite Index or local currency returns.
“The currency is part of the investment return,” she explained. “If the cedi depreciates against the dollar, part of the gains made in the equity market can be reduced when converted back into dollars.”
Cedi Movements Create Currency Risk
The GSE’s strong performance has been supported by relatively low inflation, improving macroeconomic conditions and increased investor activity.
However, the cedi has experienced fluctuations, including an estimated 7% depreciation against the US dollar.
For Ms Asantewah, this creates a crucial consideration for international investors.
“A foreign investor cannot simply say, ‘I made 71% on the Ghana Stock Exchange.’ The more important question is, ‘What did I make after accounting for the movement in the cedi?’ That is where currency risk becomes critical.”
Ms Gifty Annor-Sika Asantewah
She stressed that the currency risk does not necessarily undermine the attractiveness of Ghanaian equities.
Rather, she said, it should encourage investors to adopt a more comprehensive approach when measuring returns.
“Strong equity performance and currency weakness can happen at the same time,” she stated. “The two markets have different drivers, so investors need to monitor both.”
Strong Market Activity Signals Rising Confidence
The GSE’s impressive performance has also been accompanied by a substantial increase in market activity.
Data from the exchange showed that 140,323 transactions were recorded in July 2026 alone, representing a 456.44% increase compared with the same period last year.
The Composite Index had already delivered a 75.99% return by the end of July, while the Financial Stock Index returned 77.27%.
Ms Asantewah said the surge in transactions was particularly significant because it suggested that the rally was attracting broader investor participation.
“The increase in transactions is one of the most encouraging aspects of the current market performance. It indicates that the story is not simply about a few stocks moving higher. There is considerably more activity taking place across the market.”
Ms Gifty Annor-Sika Asantewah
She added that sustained liquidity would be important if the GSE is to maintain its momentum. “The next test is whether this activity can remain strong beyond the current rally,” she observed.
Individual Stocks Deliver Massive Gains
Several listed companies have posted extraordinary gains, further contributing to the exchange’s impressive performance.
Intravenous Infusions PLC emerged as the biggest price gainer in July, rising by 367%, followed by Hords PLC with a 255% increase.
Clydestone (Ghana) PLC gained 61%, while Cocoa Processing Co. PLC increased by 31%. Ecobank Ghana PLC rose 16%, Scancom PLC gained 11%, and Standard Chartered Bank preference shares and Tullow Oil PLC each advanced 10%.
GCB Bank PLC gained 8%, while Dannex Ayrton Starwin PLC rose 7%. Kasapreko PLC and Ghana Oil Company PLC each increased by 6%, while CalBank PLC and TotalEnergies Marketing Ghana PLC recorded 1% gains.
According to Ms Asantewah, these movements demonstrate the opportunities available to investors, but they also underline the need for disciplined stock selection.
“When you see triple-digit returns in individual equities, the temptation is to chase performance. That is where investors must become very careful. A stock that has already risen sharply may not necessarily continue at the same pace.”
Ms Gifty Annor-Sika Asantewah
She advised investors to examine company fundamentals, valuations, earnings prospects and liquidity before entering stocks that have experienced rapid price appreciation.
Can the Rally Continue?
The central question now confronting investors is whether the GSE can extend its remarkable gains into the final months of 2026.
Ms Asantewah believes the market still has room for growth, but she cautioned against assuming that previous returns will automatically be repeated.
“I would not interpret the 71% return as a guarantee of another 71%. Markets do not move in straight lines. The stronger the rally becomes, the more important valuation and fundamentals become.”
Ms Gifty Annor-Sika Asantewah
She identified inflation, interest rates, exchange rate stability, corporate earnings and foreign investor participation as key factors that could determine the next phase of the market. “If the macroeconomic improvements continue and listed companies translate those improvements into stronger earnings, the market could remain attractive,” she said.
Investors Must Look Beyond the Headline Return
For investors, the GSE’s remarkable performance represents an important milestone for Ghana’s capital market.
The exchange has not only outperformed its African peers in local currency terms but has also recorded one of the continent’s strongest dollar-denominated performances.
However, Ms Asantewah believes investors should maintain perspective.
“The GSE deserves recognition for what it has achieved, but investors should not become complacent. The 71.27% return is the headline. The deeper story includes inflation, interest rates, corporate performance, liquidity and, importantly, the cedi.”
Ms Gifty Annor-Sika Asantewah
She concluded that Ghana’s stock market could continue attracting attention if economic stability and corporate performance improve.
“Investors should celebrate the gains, but they should also manage the risks,” she remarked. “The objective is not simply to find the market with the highest return. It is to understand how sustainable that return is and what risks are attached to it.”
In the intervening time, the challenge will now be for the GSE to convert its extraordinary 2026 performance into sustained investor confidence, deeper market liquidity and long-term capital formation.
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