Ghana : Bringing Savers and Investors Together
After 10 years of successful adjustment, with real economic growth averaging 5 percent per year, Ghana's recorded savings and investment rates remain very low - even by sub-Saharan African standards. However, survey evidence suggests that actu...
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| Format: | Brief |
| Language: | English |
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World Bank, Washington, DC
2012
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| Online Access: | http://documents.worldbank.org/curated/en/1995/04/1615062/ghana-bringing-savers-investors-together http://hdl.handle.net/10986/9997 |
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okr-10986-99972021-04-23T14:02:48Z Ghana : Bringing Savers and Investors Together Boehmer, Hans-Martin Wetzel, Deborah Gupta, Arvind SAVINGS INVESTMENT HOUSEHOLDS ECONOMIC GROWTH FINANCIAL INSTITUTIONS PUBLIC DEBT PRIVATE INVESTMENTS SAVINGS BEHAVIOR BANK DEPOSITS BANKING SECTOR BANKING SYSTEM BANKS CAPITAL MARKETS CENTRAL BANK COMMERCIAL BANKS DEBT DEMAND DEPOSITS DEPOSITS ECONOMIC GROWTH FINANCIAL INSTITUTIONS FINANCIAL INTERMEDIATION FINANCIAL MARKETS FINANCIAL RESOURCES FINANCIAL SECTOR FINANCIAL SYSTEM FISCAL FISCAL DEFICIT FISCAL DEFICITS FISCAL MANAGEMENT FISCAL POLICY FORMAL FINANCIAL SYSTEM FORMAL INSTITUTIONS GOVERNMENT OWNERSHIP GOVERNMENT SECURITIES HIGH INFLATION HOUSING INCOME INFLATION INFORMAL SECTOR INSTITUTIONAL FOUNDATIONS INSURANCE INSURANCE FIRMS INSURANCE INDUSTRY INTEREST RATES INVENTORIES INVESTMENT RATES LACK OF COMPETITION LEGISLATION LEVEL PLAYING FIELD LIQUIDITY MACROECONOMIC ENVIRONMENT MACROECONOMIC INSTABILITY MACROECONOMIC STABILITY MERCHANT BANKS MONETARY POLICIES MONETARY POLICY NEW ENTRANTS OPEN MARKET OPERATIONS OPERATING EFFICIENCY PRICE STABILITY PRIVATE INVESTMENT PRIVATE SECTOR PUBLIC SECTOR REAL INTEREST REAL INTEREST RATES REGULATORY FRAMEWORK RESERVE REQUIREMENTS RURAL BANKS SAVINGS SAVINGS BEHAVIOR SAVINGS RATES SECURITIES SOCIAL SECURITY STATE OWNERSHIP STATE-OWNED ENTERPRISES VENTURE CAPITAL After 10 years of successful adjustment, with real economic growth averaging 5 percent per year, Ghana's recorded savings and investment rates remain very low - even by sub-Saharan African standards. However, survey evidence suggests that actual savings and investment rates are much higher than recorded rates. National accounts statistics do not capture a large part of the underlying savings and investment activities of the household, rural, and informal sectors. Comparative financial indicators confirm that Ghana's financial system is not very deep and as a result not fully contributing to economic growth. Ghana's broad money holdings are small relative to GDP when compared to other countries with similar per capita income. Also, currency holdings are relatively large, suggesting that Ghanaians prefer cash to bank accounts. Meanwhile, the bulk of financial savings has financed public sector deficits, leaving little for private investment finance. There is considerable evidence that many household savings are invested in real assets yielding zero, or negative, returns. Widespread lack of trust in formal financial channels makes these nevertheless the preferred form of investment. Ghana can grow faster with existing savings by improving the efficiency of investments through enhanced finanical intermediation. 2012-08-13T10:05:38Z 2012-08-13T10:05:38Z 1995-04 http://documents.worldbank.org/curated/en/1995/04/1615062/ghana-bringing-savers-investors-together http://hdl.handle.net/10986/9997 English Africa Region Findings & Good Practice Infobriefs; No. 38 CC BY 3.0 IGO http://creativecommons.org/licenses/by/3.0/igo/ World Bank World Bank, Washington, DC Publications & Research :: Brief Publications & Research Africa Ghana |
| repository_type |
Digital Repository |
| institution_category |
Foreign Institution |
| institution |
Digital Repositories |
| building |
World Bank Open Knowledge Repository |
| collection |
World Bank |
| language |
English |
| topic |
SAVINGS INVESTMENT HOUSEHOLDS ECONOMIC GROWTH FINANCIAL INSTITUTIONS PUBLIC DEBT PRIVATE INVESTMENTS SAVINGS BEHAVIOR BANK DEPOSITS BANKING SECTOR BANKING SYSTEM BANKS CAPITAL MARKETS CENTRAL BANK COMMERCIAL BANKS DEBT DEMAND DEPOSITS DEPOSITS ECONOMIC GROWTH FINANCIAL INSTITUTIONS FINANCIAL INTERMEDIATION FINANCIAL MARKETS FINANCIAL RESOURCES FINANCIAL SECTOR FINANCIAL SYSTEM FISCAL FISCAL DEFICIT FISCAL DEFICITS FISCAL MANAGEMENT FISCAL POLICY FORMAL FINANCIAL SYSTEM FORMAL INSTITUTIONS GOVERNMENT OWNERSHIP GOVERNMENT SECURITIES HIGH INFLATION HOUSING INCOME INFLATION INFORMAL SECTOR INSTITUTIONAL FOUNDATIONS INSURANCE INSURANCE FIRMS INSURANCE INDUSTRY INTEREST RATES INVENTORIES INVESTMENT RATES LACK OF COMPETITION LEGISLATION LEVEL PLAYING FIELD LIQUIDITY MACROECONOMIC ENVIRONMENT MACROECONOMIC INSTABILITY MACROECONOMIC STABILITY MERCHANT BANKS MONETARY POLICIES MONETARY POLICY NEW ENTRANTS OPEN MARKET OPERATIONS OPERATING EFFICIENCY PRICE STABILITY PRIVATE INVESTMENT PRIVATE SECTOR PUBLIC SECTOR REAL INTEREST REAL INTEREST RATES REGULATORY FRAMEWORK RESERVE REQUIREMENTS RURAL BANKS SAVINGS SAVINGS BEHAVIOR SAVINGS RATES SECURITIES SOCIAL SECURITY STATE OWNERSHIP STATE-OWNED ENTERPRISES VENTURE CAPITAL |
| spellingShingle |
SAVINGS INVESTMENT HOUSEHOLDS ECONOMIC GROWTH FINANCIAL INSTITUTIONS PUBLIC DEBT PRIVATE INVESTMENTS SAVINGS BEHAVIOR BANK DEPOSITS BANKING SECTOR BANKING SYSTEM BANKS CAPITAL MARKETS CENTRAL BANK COMMERCIAL BANKS DEBT DEMAND DEPOSITS DEPOSITS ECONOMIC GROWTH FINANCIAL INSTITUTIONS FINANCIAL INTERMEDIATION FINANCIAL MARKETS FINANCIAL RESOURCES FINANCIAL SECTOR FINANCIAL SYSTEM FISCAL FISCAL DEFICIT FISCAL DEFICITS FISCAL MANAGEMENT FISCAL POLICY FORMAL FINANCIAL SYSTEM FORMAL INSTITUTIONS GOVERNMENT OWNERSHIP GOVERNMENT SECURITIES HIGH INFLATION HOUSING INCOME INFLATION INFORMAL SECTOR INSTITUTIONAL FOUNDATIONS INSURANCE INSURANCE FIRMS INSURANCE INDUSTRY INTEREST RATES INVENTORIES INVESTMENT RATES LACK OF COMPETITION LEGISLATION LEVEL PLAYING FIELD LIQUIDITY MACROECONOMIC ENVIRONMENT MACROECONOMIC INSTABILITY MACROECONOMIC STABILITY MERCHANT BANKS MONETARY POLICIES MONETARY POLICY NEW ENTRANTS OPEN MARKET OPERATIONS OPERATING EFFICIENCY PRICE STABILITY PRIVATE INVESTMENT PRIVATE SECTOR PUBLIC SECTOR REAL INTEREST REAL INTEREST RATES REGULATORY FRAMEWORK RESERVE REQUIREMENTS RURAL BANKS SAVINGS SAVINGS BEHAVIOR SAVINGS RATES SECURITIES SOCIAL SECURITY STATE OWNERSHIP STATE-OWNED ENTERPRISES VENTURE CAPITAL Boehmer, Hans-Martin Wetzel, Deborah Gupta, Arvind Ghana : Bringing Savers and Investors Together |
| geographic_facet |
Africa Ghana |
| relation |
Africa Region Findings & Good Practice Infobriefs; No. 38 |
| description |
After 10 years of successful adjustment,
with real economic growth averaging 5 percent per year,
Ghana's recorded savings and investment rates remain
very low - even by sub-Saharan African standards. However,
survey evidence suggests that actual savings and investment
rates are much higher than recorded rates. National accounts
statistics do not capture a large part of the underlying
savings and investment activities of the household, rural,
and informal sectors. Comparative financial indicators
confirm that Ghana's financial system is not very deep
and as a result not fully contributing to economic growth.
Ghana's broad money holdings are small relative to GDP
when compared to other countries with similar per capita
income. Also, currency holdings are relatively large,
suggesting that Ghanaians prefer cash to bank accounts.
Meanwhile, the bulk of financial savings has financed public
sector deficits, leaving little for private investment
finance. There is considerable evidence that many household
savings are invested in real assets yielding zero, or
negative, returns. Widespread lack of trust in formal
financial channels makes these nevertheless the preferred
form of investment. Ghana can grow faster with existing
savings by improving the efficiency of investments through
enhanced finanical intermediation. |
| format |
Publications & Research :: Brief |
| author |
Boehmer, Hans-Martin Wetzel, Deborah Gupta, Arvind |
| author_facet |
Boehmer, Hans-Martin Wetzel, Deborah Gupta, Arvind |
| author_sort |
Boehmer, Hans-Martin |
| title |
Ghana : Bringing Savers and Investors Together |
| title_short |
Ghana : Bringing Savers and Investors Together |
| title_full |
Ghana : Bringing Savers and Investors Together |
| title_fullStr |
Ghana : Bringing Savers and Investors Together |
| title_full_unstemmed |
Ghana : Bringing Savers and Investors Together |
| title_sort |
ghana : bringing savers and investors together |
| publisher |
World Bank, Washington, DC |
| publishDate |
2012 |
| url |
http://documents.worldbank.org/curated/en/1995/04/1615062/ghana-bringing-savers-investors-together http://hdl.handle.net/10986/9997 |
| _version_ |
1764411493581848576 |