Ghana

• The GSE-CI increased by 1.1% w/w to settle at 6,175.6 points last week, bringing the year-to-date and 30-day returns to 26.3% and 17.2% respectively. The index advance was underpinned by gains in Clydestone Ghana, SIC Insurance Co, Republic Bank Ghana Plc, Total Petroleum Ghana, Enterprise Group, Ecobank Ghana, Ecobank Transnational Inc, Access Bank Ghana, GCB Bank Plc, Societe Generale Ghana, Scancom Plc and Benso Oil Palm Plantation.
• Aggregate market turnover slumped by 26.5% w/w to USD 0.4mn, with Scancom Plc dominating trading activity, accounting for 75.1% of the total value traded. Market breadth favoured gainers with a 12:0 ratio. Clydestone Ghana (+25.0% w/w | GHS 0.05) led the gainers’ chart, while no laggard was recorded for the period.
• We continue to monitor market performance as investor sentiment remains responsive to recent disclosures and corporate releases. Looking ahead, we anticipate sustained engagement on the stock market in the coming week, driven by ongoing corporate announcements and result releases. We expect investor interest to remain steady as market participants reposition their portfolios in response to potential opportunities. Also, Scancom PLC announced that its 7th Annual General Meeting (AGM) of Shareholders will be held on Thursday, 27 March 2025, at 11:00 GMT. The AGM will be conducted in a hybrid format, allowing for both in-person attendance at the Accra International Conference Centre and virtual participation via live streaming through the platform https://mtnghagm.com. The meeting is expected to provide key updates on the company’s financial performance, strategic initiatives, and shareholder resolutions for the period under review.

Nigeria

• The NGX-ASI declined by 1.0% w/w to settle at 104,963.0 points, bringing the year-to-date returns to 2.0% and 30-day loss to 0.9%. The bearish movement in the index was underpinned by losses in mid-to-large caps.
• Aggregate market turnover plunged by 28.9% w/w to USD 19.1mn, with Zenith Bank Plc dominating trading activity, accounting for 18.0% of the total value traded. Market breadth favoured decliners with a 60% ratio. Neimeth International Pharmaceutical  (+20.5% w/w | NGN 3.0) led the gainers’ chart, while Vetiva S&P Nigerian Sov Bond (-38.3% w/w | NGN 191.2) was the worst laggard.
• Nigeria’s annual headline inflation rate eased by 130bps to 23.18% in February 2025, marking a continued moderation in price pressures following the recent rebasing of the Consumer Price Index (CPI). The sharp disinflation observed in recent months is primarily attributed to the CPI rebasing exercise, which saw the base year updated from 2009 to 2024 to better reflect current consumption patterns. This methodological change has significantly influenced the recalibration of inflation figures, leading to lower inflation in Janaury 2025 than previously estimated while the decline in February 2025 (under the new CPI series) provides indication of potential cooling price pressures. Food inflation, which remains a key driver of overall inflation dynamics, moderated to 23.51% year-on-year in February, down from 26.08% in January, suggesting easing pressures in the food segment of the consumer basket. Notwithstanding the seeming disinflation, we expect Nigeria’s MPC to remain cautiously on “hold” until 2H2025.

Kenya

• The NSE-ASI inched up by 0.5% w/w to settle at 130.2 points, bringing the year-to-date and 30-day returns to 5.5% and 0.4%, respectively. The upward movement in the index was due to gains in mid-to-large caps.
• Aggregate market turnover plummeted by 16.8% w/w to USD 11.9mn, with Liberty Kenya Holding Ltd dominating trading activity, accounting for 40.6% of the total value traded. Market breadth favoured decliners with a 61% ratio. Standard Chartered Bank Ltd (+12.3% w/w | KES 304.0) led the gainers’ chart, while Nairobi Business Ventures Ltd (-6.4% w/w | KES 1.9) was the worst laggard.
• The International Monetary Fund (IMF) confirmed receipt of a formal request from the Kenyan authorities for a new financing arrangement. This development follows an understanding between both parties that the ninth review under Kenya’s current Extended Fund Facility (EFF) and Extended Credit Facility (ECF) arrangements will not proceed. The combined EFF/ECF programmes, valued at USD 3.6 billion, are scheduled to expire in April 2025. The suspension of the ninth review has heightened investor uncertainty, triggering a sell-off in Kenya’s sovereign dollar bonds. Notably, the 2048 maturities declined by over 1 cent each, with bids slipping to just above 80 cents on the dollar, marking their lowest levels in approximately six months. As of October 2024, the IMF had approved disbursements totaling USD 3.12 billion under the current lending framework. The ninth review was anticipated to unlock a final tranche of around USD 480 million, though neither IMF officials nor Kenyan government representatives have clarified the exact implications or amounts at stake following the review’s cancellation.