Secondary bond market activity slowed sharply last week, as investors traded fewer government securities amid cautious market sentiment ahead of the Bank of Ghana’s upcoming Monetary Policy Committee (MPC) meeting.

Aggregate turnover on the secondary bond market declined by 46.60% week-on-week to GHS1.25 billion, reflecting reduced trading activity across the market.

Despite the slowdown, medium-term bonds continued to dominate investor interest. Securities maturing between 2027 and 2030 accounted for 88.77% of total turnover, with investors accepting a weighted-average yield of 11.25%.

Bonds within the 2031 to 2034 maturity range contributed 11.23% of total trades and recorded an average yield of 12.35%.

Trading activity at the longer end of the yield curve, particularly bonds maturing between 2035 and 2038, remained subdued as investors maintained a cautious stance toward longer-dated instruments.

The newly issued 7-year 2033 bond also saw modest activity on the secondary market. A total of GHS140.60 million was traded across 18 transactions at a weighted-average yield of 12.35%.

Analysts say investor activity is likely to remain concentrated within the short-to-medium-term segment of the bond market in the coming weeks.

According to Databank Research, market participants are expected to stay cautious ahead of the MPC meeting scheduled for May 20, 2026, where the Bank of Ghana is widely expected to maintain the current policy rate.

However, the recent sovereign rating upgrade by Fitch Ratings could help improve investor confidence. The agency upgraded Ghana’s sovereign rating to “B” from “B-” and assigned the country a Positive Outlook, signaling improving confidence in the economy and fiscal outlook.