The Ghana Stock Exchange (GSE) posted an impressive performance in 2017. The GSE Composite Index (GSE CI) which measures the overall performance of listed equities on the Exchange gained 890.63 points to close the year at 2,579.72 points reflecting end of year gain of 52.73%. This compares favourably with end of year loss of 15.33% in 2016. In dollar terms, the GSE CI gained 45.28% at the close of 2017 compared with a loss of 23.60% at the end of 2016.

The impressive performance of the exchange could be attributed to the relative stable macroeconomic environment, falling interest rates, restructure of the energy sector debt and stable power supply throughout 2017. These factors played a key role in reducing the operational costs of most companies on the exchange.

Benso Oil Palm Plantation was the best performing stock in 2017 with gains of 194.23%. It was followed by Ghana Oil Company and Standard Chartered Bank with gains of 144.55% and 107.31% respectively. On flip side, Mechanical Llyod Company recorded a loss of 60.00%, making it the worst performing stock in 2017. Tullow Oil Plc followed with a loss of 36.20%. Meanwhile, Ayrton Drug Manufacturing and SIC Insurance Company were the joint third worst performing stocks with losses of 16.67% each respectively.

We expect the GSE to continue its bullish run in 2018, given the stable macroeconomic outlook for the year.