GHANA STOCK EXCHANGE WEEK FROM 21-01-19 TO 25-01-19

IT SEEMS – AT LEAST I HOPE SO – THAT THIS TIME I WAS RIGHT WITH MY PREDICTIONS. SOME TIME AGO, I SAID THAT THE GSE INDEXES HAVE PROBABLY FOUND THEIR BOTTOM AT 2,500 AND 2,100 RESPECTIVELY. LAST  WEEK, THE COMPOSITE ENDED AT2,511 – ALTHOUGH A LITTLE BIT LOWER THAN THE DAY BEFORE. THE FINANCIAL, ON THE OTHER HAND, FINISHED THE WEEK AT 2,125, A LITTLE BIT HIGHER THAN ON THURSDAY – ALL FIGURES COURTESY OF https://gse.com.gh. BOTH INDEXES HAD ONLY A SLIGHT FLUCTUATION DURING THE WEEK.

THE GHANAIAN STOCK MARKET OBVIOUSLY CALMS DOWN, ALTHOUGH ON A  RATHER LOW LEVEL.BUT, AT LEAST IT HAS, AND WE CAN BE HAPPY IF IT REMAINS LIKE THAT. IT WOULD SHOW US THAT A CERTAIN LEVEL OF CONFIDENCE RETURNS INTO THE FINANCIAL SYSTEM. THIS CONFIDENCE, IF IT RETURNS, IS WELL DESERVED. WE WILL SEE WHAT THE BUSINESS CONFIDENCE INDEX AND THE CONSUMER CONFIDENCE INDEX WILL SHOW US NEXT TIME. BUT I AM SURE THAT THE DOWNTURN OF THE INDEXES WILL AT LEAST SLOW DOWN, IF NOT REVERSE.

I OFTEN CRITICISE THE MANAGEMENT OF MANY GHANAIAN ENTERPRISES. BUT I STILL BELIEVE THAT THE FUTURE FOR GHANAIAN BUSINESSES IS BRIGHT. ANY MANAGEMENT THAT CANNOT OR DOES NOT WANT TO ADAPT TO CHANGES IN THE ECONOMY SHOULD RESIGN. THERE ARE STILL COMPANIES ON THE GSE THAT ONLY LISTED THERE FOR ONE REASON. THIS REASON WAS TO RAISE MONEY FOR PARTLY DOUBTFUL VENTURES AND OTHER BUSINESS TRANSACTIONS.

THE SAME WAY AS THE BANK OF GHANA STARTED TO CLEAN UP THE BANKING SECTOR, THE SEC SHOULD START CLEANING UP THE EXCHANGE. ALTHOUGH THE SEC TRIED TO BEGIN IT SOME TIME AGO, I THINK THAT THIS EXERCISE WAS NOT CONSEQUENT ENOUGH. BUT EVEN THE CLEAN-UP BY THE BANK OF GHANA SHOULD NOT END WITH THE BANKS. IT SHOULD ALSO INCLUDE OTHER FINANCIAL INSTITUTIONS AND THE RURAL AND COMMUNITY BANKS. THEREFORE, THERE IS STILL THE EXPECTATION THAT THE SEC ALSO PERFORMS A MORE THOROUGH CLEANING OF ITS INSTITUTION.

AND A LAST WORD TO THE GHANA ALTERNATIVE INDEX (GAX). IN MY UNDERSTANDING, THE GAX IS NOT USED ENOUGH BY ENTERPRISES THAT QUALIFY FOR LISTING THERE. A FURTHER DEVELOPMENT OF THE GAX WILL SURELY HELP THE FINANCIAL SECTOR TO ADVANCE AND TO STABILISE FURTHER.

THEREFORE I DIRECT AN APPEAL TO ALL BUSINESSES  THAT MIGHT QUALIFY.

GET INFORMATION ABOUT LISTING ON THE GHANA ALTERNATIVE INDEX (GAX)!

IF YOU QUALIFY, INITIATE THE LISTING PROCEDURE!

BENEFIT FROM THE ADVANTAGES OF THE LISTING, AND HELP IMPROVE THE ECONOMY IN GHANA!

STAY TUNED!

 

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