Accra: The Bank of Ghana has intensified efforts to deepen Ghana's financial markets by training banks and market participants on the legal and operational frameworks underpinning repo and derivatives transactions. Repo and derivatives markets remain foundational pillars of global financial liquidity and risk management.
According to Ghana Web, opening a one-day workshop in Accra on Repo Guidelines, the Global Master Repurchase Agreement (GMRA), and International Swaps and Derivatives Association (ISDA) documentation, First Deputy Governor Dr. Zakari Mumuni emphasized that Ghana's financial market development must be anchored on legal certainty and sound risk management. He noted that a financial market is only as strong as its legal and operational infrastructure, with volumes indicating market activity, while documentation, risk frameworks, and legal certainty reflect its safety.
The workshop, organized by the Bank of Ghana in partnership with Frontclear, aims to address the gap between rising market activity and the resilience required to sustain it. Dr. Mumuni mentioned that Ghana's fixed-income market is expanding rapidly, attracting more sophisticated instruments and market participants. He stated that growth must be matched by investment in market infrastructure, legal literacy, and risk culture.
Describing the repo market as central to modern financial systems, Dr. Mumuni highlighted its role in supporting short-term funding and liquidity management, promoting the efficient use of securities as collateral, and strengthening monetary policy transmission. He explained that the GMRA provides the legal backbone for repo transactions, while ISDA documentation underpins derivatives trading and risk management frameworks.
The workshop brought together treasury, risk, and legal teams from financial institutions to enhance cross-functional coordination. Dr. Mumuni stressed the importance of strong coordination across the front office, risk management, legal, operations, and senior management, emphasizing that no leg of this tripod can be weak without compromising the whole. He urged participants to focus on practical issues, including collateral management, legal enforceability, operational readiness, and counterparty risk.
He noted that the value of the program would be measured by the quality of debate and practical insights carried back to institutions, rather than the presentations delivered. Dr. Mumuni underlined the need for Ghana's financial markets to rely on legally enforceable agreements, operationally sound processes, and professionals who understand their commitments, rather than informal practices or weak documentation standards.
He reaffirmed the Bank of Ghana's commitment to strengthening market infrastructure, deepening liquidity, and aligning Ghana's financial markets with international best practices.