MACROECONOMIC INDICATORS
Q4, 2020 GDP Growth 3.3%
Average GDP Growth for 2020 0.4%
2021 Projected GDP Growth 5.0%
BoG Policy Rate 14.50%
Weekly Interbank Interest Rate 13.57%
Inflation for Apr, 2021 8.5%
End Period Inflation Target - 2021 8.0%
Budget Deficit (% GDP) – Dec, 2020 11.7%
2020 Budget Deficit Target (%GDP) 11.4%
Public Debt (billion GH¢) – Dec, 2020 291.6
Debt to GDP Ratio – Dec, 2020 76.1%

STOCK MARKET REVIEW
The Ghana Stock Exchange retreated for the week, weighed by declines in 4 counters. The GSE Composite Index (GSE CI) lost 120.42 points (-4.47%) to close at 2,575.34 points reflecting a year-to-date (YTD) gain of 32.64%. The GSE Financial Stocks Index (GSE FI) also lost 1.62 points (-0.09%) to close at 1,889.27 points reflecting YTD gain of 5.97%.

Market capitalization ended the week at GH¢60,947.10 representing -2.03% loss from GH¢62,207.37 million at the close of the previous week. This reflects YTD increase of 12.09%.
Trading activity declined for the week relative to the prior week. A total of 6,251,368 shares, valued at GH¢7,008,445.44 changed hands for the week, compared with 16,218,602 shares, valued at GH¢20,866274.52 in the preceding week.
MTN GH dominated trades by volume and value for the week, accounting for 64.82% of total volumes traded and 66.74% of value traded.
The market closed the week with 2 price advancers and 4 decliners as indicated on the table below.
Price Movers for the Week
Equity Opening Price Closing Price Gain/ Loss
Enterprise Group Ltd. 1.49 1.52 2.01%
NewGold 100.60 102.25 1.64%
Cal Bank PLC 0.84 0.82 -2.38%
Scancom PLC (MTNGH) 1.24 1.14 -8.06%
Unilever Ghana Ltd. 3.60 3.25 -9.72%
SIC Insurance Company Ltd. 0.08 0.07 -12.50%

5 Best & Worst Performing Stocks
Best 5 Performing Stocks: YTD Return
MTN Ghana Ltd. 78.13%
Guinness Ghana Breweries Ltd. 43.33%
Societe Generale Ghana PLC 31.25%
GCB Bank PLC 22.22%
Cal Bank PLC 18.84%

Worst 5 Performing Stocks:
Access Bank Ghana PLC -2.05%
Ecobank Ghana Ltd. -2.78%
Aluworks Limited -9.09%
Ecobank Transnational Inc. -12.50%
Unilever Ghana PLC -60.80%

CURRENCY MARKET
The Cedi strengthened against the USD for the week. It traded at GH¢5.7307/$ on Friday, against GH¢5.7316/$ at week open, reflecting w/w and YTD appreciations of 0.02% and 0.51% respectively against the USD. This compares with YTD depreciation of 1.24% a year ago.
The Cedi meanwhile weakened against the GBP. It traded at GH¢8.0766/£, compared with GH¢8.0188/£ at week open, reflecting w/w and YTD depreciations of 0.72% and 2.51% respectively against the GBP. This compares with YTD appreciation of 5.01% a year ago.
The Cedi strengthened against the Euro for the week. It traded at GH¢6.9551/€, compared with GH¢6.9629/€ at week open, reflecting w/w and YTD appreciations of 0.11% and 1.57% respectively against the Euro. This compares with YTD appreciation of 2.33% a year ago.
The Cedi conversely closed weaker against the CAD on the week. It opened at GH¢4.7164/C$ but closed at GH¢4.7315/C$, reflecting w/w and YTD depreciations of 0.32% and 4.28% respectively against the CAD. This compares with YTD appreciation of 6.13% a year ago.
Weekly Interbank Foreign Exchange Rates
Currency Pair Year Open Week Open Week Close Change
% YTD %
01-01-21 10-05-21 14-05-21
USD/GHS 5.7602 5.7316 5.7307 0.02 0.51
GBP/GHS 7.8742 8.0188 8.0766 -0.72 -2.51
EUR/GHS 7.0643 6.9629 6.9551 0.11 1.57
CAD/GHS 4.5292 4.7164 4.7315 -0.32 -4.28
Source: Bank of Ghana

GOVERNMENT SECURITIES MARKET
Government raised a sum of GH¢3,480.60 million for the week across the 91-Day, 182-Day and 364-Day Treasury Bills and a 5-Year Treasury Bond. This compared with GH¢913.25 million raised in the previous week.
The 91-Day Bill stayed flat at 12.79% p.a. whilst the 182-Day and 364-Day Bills shed 2bps and 11bps to settle at 13.55% p.a and 16.42% p.a. respectively. The 5-Year Bond meanwhile added 50bps to settle at 18.80% p.a.
The table and graph below show Primary Market yields as at May 14, 2021.
Security Year Open Previous Yield % Current Yield % WoW Chg (%) YTD Chg (%)
01-01-21 07-05-21 14-05-21
91 Day TB 14.10 12.79 12.79 -0.01 -9.28
182 Day TB 14.15 13.57 13.55 -0.14 -4.22
364 Day TB 16.96 16.53 16.42 -0.64 -3.21
2-Yr FXR TN 18.50 17.60 17.60 0.00 -4.86
3-Yr Bond 19.25 17.70 17.70 0.00 -8.05
5-Yr Bond 19.85 18.30 18.80 2.73 -5.29
6-Yr Bond 19.50 19.25 19.25 0.00 -8.33
7-Yr Bond 20.50 20.50 20.50 0.00 0.00
10-Yr Bond 19.80 19.80 19.80 0.00 0.00
15-Yr Bond 19.75 19.75 19.75 0.00 0.00
20-Yr Bond 20.20 20.20 20.20 0.00 0.00
Source: Bank of Ghana

COMMODITY MARKET
Oil prices closed higher for the week as positive demand outlook countered COVID-19 concerns in Asia. Brent futures traded at US$68.71 a barrel on Friday, reflecting w/w and YTD gains of 0.63% and 32.64% respectively.
Gold prices also firmed up for the week on the back of fluctuations in bond yields and slowdown in U.S. retail sales. Gold futures settled at US$1,843.85 per ounce on Friday, reflecting w/w gain and YTD loss of 0.65% and 2.70% respectively.
Prices of Cocoa also closed higher for the week. Cocoa futures settled at US$2,474.00 per tonne, reflecting w/w gain and YTD loss of 2.15% and 4.96% respectively.
International Commodity Prices
Commodities Year Open Week Open Week Close Chg
% YTD
%
01-01-21 10-05-21 14-05-21
Brent crude oil (USD/bbl)
51.80 68.28 68.71
0.63
32.64

Gold (USD/t oz.)
1,895.10 1,831.95 1,843.85
0.65
-2.70

Cocoa (USD/MT)
2,603.00 2,422.00 2,474.00
2.15
-4.96
Source: www.investing.com

BUSINESS TERM OF THE WEEK
Premium Bond: A premium bond is a bond trading above its face value or in other words; it costs more than the face amount on the bond. A bond might trade at a premium because its interest rate is higher than current rates in the market.
Source: https://www.investopedia.com/terms/p/premiumbond.asp

ABOUT CIDAN
CIDAN Investments Limited is an investment and fund management company licensed by the Securities & Exchange Commission (SEC) and the National Pensions Regulatory Authority (NPRA).

Disclaimer
The contents of this report have been prepared to provide you with general information only. Information provided on and available from this report does not constitute any investment recommendation.
The information contained herein has been obtained from sources that we believe to be reliable, but its accuracy and completeness are not guaranteed.