Ghana's sovereign wealth is a few steps closer to being Africa's biggest
Ghana ranked third in the first edition of the African Sovereign Wealth Fund Index polling 62 out of 100%. Nigeria and Rwanda scored 62.49 % and 62.24 % respectively.
It beat countries such as Angola, with 56.57%, Morocco, 38.92% and Gabon, 47.17%.
The index measures the size and other variables of sovereign wealth funds in Africa and was launched in Accra by the Konfidants Advisory Group during the Africa Sovereign Wealth Fund Summit.
The index chronicles the size of the existing 12 Sovereign Wealth Funds (SWFs) on the African continent. The total assets of these SWFs, according to the report stands at about $89 billion.
The indicators of the index are; governance and disclosure, size, domestic investment mandate and source of funding.
With regards to governance and disclosure, the index measures this by assessing the soundness of governance structure of the fund as well as public financial disclosure of the fund. So, it simply seeks to establish how transparent and accountable African sovereign wealth funds are.
Ghana’s sovereign wealth funds; the Ghana petroleum funds was established in 2011 to target stabilization, infrastructure and future generations.
Currently, Ghana’s sovereign wealth fund has a size of about $187.6 million
The country has the Ghana Stabilization Fund (GSF) for purposes of stabilization of the economy if there is a dip in oil revenue, meaning funds accumulated from the sale oil are used to cushion our economy during periods of economic slowdown.