Ghana

US and European players have historically dominated the global reinsurance segment, and Africa – where other than a handful of small, government-backed reinsurers benefiting from mandated local coverage requirements, reinsurance contracts have generally gone abroad – is no exception. However, this is beginning to change, as the high growth in Africa’s emerging markets,...

To date, Ghana has followed a traditional course in the development and sale of insurance products: companies design and underwrite policies and brokers and agents are used to distributed them. As a result, penetration rates are relatively low.

The insurance sector is growing rapidly as result of reforms, improved regulation and a better understanding of the relevant products on the part of Ghana’s consumers, and the market has been a star performer. Total premiums rose 23% in 2013 over 2012, and the five-year average growth for the sector was 32%, according to the insurance commissioner as quoted in the local...

As in many emerging markets, small companies, start-ups and entrepreneurs have a difficult time raising funds in Ghana, particularly given the high interest rates for commercial loans. The stock market – where listing can be challenging for a smaller firm and where trading is minimal – is also not currently a practical avenue for early-stage funding. The main board is...

Benefitting from a broader increase in interest in frontier economies and strong headline growth, Ghana’s capital markets have performed well in recent years, with the Ghana Stock Exchange (GSE) Composite Index up 71.81% in 2013. Secondary listings and new initial public offerings (IPOs) and funds have increased investor options on the bourse, while a number of reforms...