The Head of Africa Economic Research at Standard Bank, Qureishi Jibran, is urging the Government of Ghana to broaden access to its bond market and reduce its heavy reliance on treasury bills financing.
According to him, the current weakening of the dollar presents an opportunity for the country to restructure its financing strategy and strengthen its economic resilience.
Speaking at the 2025 Stanbic Bank Economic Forum on the Mid-Year Budget Review, Mr. Jibran explained that Ghana stands to benefit if it capitalises on the current global macroeconomic environment by shifting to more sustainable long-term market instruments.
“A weaker dollar probably would be positive for markets that have liquid bonds and liquid foreign exchange markets. And I think that’s why it’s important and paramount for the Ghanaian authorities to capitalise now and ensure that they open up their bond market and reduce the burden on treasury bills financing,” he said.
He pointed out that while the dollar is losing momentum, this should not encourage complacency.
He stressed the need for Ghana to prepare for potential shifts in the global economy that could reverse the current trend.
“At a time when the dollar is obviously losing some of its shine, that could be a good opportunity for them to capitalise,” he added.
Mr. Jibran also raised concerns about the threat of a global recession, warning that such an event would have serious implications for economies like Ghana.
“We are seeing, as I said, a bit of a fading of U.S. exceptionalism, which is now resulting in the weaker dollar. But if there’s a global recession – even if that coincides perhaps with a weaker dollar here and there – which historically doesn’t happen, the dollar index, along with other safe haven assets, will rally.”
He warned that no African country would be insulated from the effects of a global downturn.
“I don’t think anyone, whether it’s Ghana, Kenya, Egypt, Angola or Uganda, would or should be able to celebrate a global recession, because we will get caught in that crossfire, indirectly or directly, from a trade standpoint, from a demand standpoint, and also from a financial market standpoint eventually,” he concluded.
The call to deepen the domestic bond market comes at a time when Ghana is under pressure to manage its debt more sustainably.
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