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Capital market players oppose 400% SEC levy hike in Ghana
🇬🇭 Ghana /Economy & Trade

Capital market players oppose 400% SEC levy hike in Ghana

From Ghanaian Times · () English

Translated from English, summarized and contextualized by DistantNews.

At a glance

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  • Capital market players in Ghana are protesting a proposed 400% increase in market levies by the Securities and Exchange Commission (SEC) for 2026.
  • Industry stakeholders warn the hike could hinder the growth of smaller firms and urge further consultation with the regulator.
  • New charges include significant annual levies for various financial entities, with concerns raised about regulatory unpredictability and potential shifts to less regulated investment options.

Ghana's capital market industry is pushing back against a substantial 400% increase in market levies planned by the Securities and Exchange Commission (SEC) for 2026. Industry players argue that the proposed hikes, which significantly raise annual fees for entities like stock exchanges, depositories, and fund managers, could stifle the growth of smaller firms within the sector.

The higher levies could drive funds towards less regulated or informal investment options, particularly in a low-yield environment such as Ghana’s. He warned that such a development could create opportunities for individuals to introduce “Ponzi” schemes.

— Adjei BoatengMr. Adjei Boateng, Chief Investment Officer of Black Star Advisors, expresses concern that increased levies might push investors towards riskier, less regulated schemes.

Under the new guidelines, the annual levy for a Stock Exchange and a Securities Depository will be GH¢250,000 each. Primary dealers, custodians, and issuing houses will pay GH¢100,000 each, while Fund Managers and Broker-Dealers face annual fees of GH¢37,500 and GH¢25,000, respectively. Additionally, an annual levy of 0.225% on the Net Asset Value of non-pension funds under management is imposed. These figures represent a dramatic increase from the 2025 rates.

The figures indicated that many firms could struggle to meet the increased levies.

— William MensahMr. William Mensah, Executive Director of Borax Capital Advisors, points out that many asset management companies may find it difficult to afford the new charges.

Stakeholders expressed concerns that the capital market is not yet mature enough to absorb such a drastic increase. Adjei Boateng, Chief Investment Officer at Black Star Advisors, warned that the higher levies might push funds towards less regulated or informal investment channels, especially in Ghana's low-yield environment, potentially creating opportunities for "Ponzi" schemes. He called for gradual increases and more dialogue between the SEC and industry participants. William Mensah, Executive Director of Borax Capital Advisors, highlighted that a significant percentage of asset management companies have assets under management below GH¢10 million or GH¢200 million, suggesting many firms could struggle to meet the new charges. Concerns were also raised about regulatory unpredictability, which has been a point of feedback from external investors.

Eventually, it will look like those that are being regulated who must be minded about what is happening, but if you drill down further you will understand that regulated e

— Dr. Arko Akoto AmpawDr. Arko Akoto Ampaw, Director of the Ghana Medical Association Fund, suggests the increase could impact investor confidence and calls for greater transparency.
DistantNews Editorial

Originally published by Ghanaian Times in English. Translated, summarized, and contextualized by our editorial team with added local perspective. Read our editorial standards.

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