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Ghana curbs offshore investments to protect cedi, boost stability - REUTERS
ACCRA, Feb 7 - Ghana's Securities and Exchange Commission (SEC) has directed local fund managers to cut back on offshore investments as it seeks to protect the cedi currency and strengthen macroeconomic stability.
Ghana, a major gold and cocoa producer, is emerging from its most severe economic crisis in decades, and it is expected to complete a three-year IMF support programme in August.
The SEC said in a circular late on Friday that, with immediate effect, local fund managers will not be allowed to invest more than 20% of their funds under management in foreign securities. Funds that were previously allowed to invest all their money offshore will now be limited to 70%.
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Any investment in foreign securities can only be made in countries that share information with Ghana's SEC, the regulator said.
Reporting by Emmanuel Bruce, writing by MacDonald Dzirutwe, Editing by Louise Heavens
