A Manifesto for Long-Term Local Capital Investment for Economic Growth
We, the undersigned pension funds, insurance firms, regulators, and industry leaders, commit to
mobilising 5% of domestic pension and insurance assets under management (AUM) into venture
capital (VC) and private equity (PE) to drive Ghana’s economic growth. Over 20 years, Ghana’s
VC industry has created 44,000 direct jobs with $4.5 billion AUM, presenting a major
opportunity for diversification, job creation, and economic development across pensions,
insurance, SMEs, and VC/PE markets.
Despite NPRA regulations allowing up to 25% of pension AUM in alternative assets, current
investment stands at only 0.58%. This Compact is a unified call to diversify portfolios, align
financial systems with national development priorities, unlock innovative business solutions, and
foster decent jobs for future generations.
Our Commitment
Recognising challenges outlined in Ghana Venture Capital and Impact Investing Ghana’s 2024
report, we pledge to:
- Increase allocation to alternative assets like VC/PE to 5% by 2026, co-investing in funds, funds
of funds as permitted by NPRA regulations Diversify pension and insurance portfolios away from government bonds toward
sustainable, long-term investments in productive sectors.Strengthen policies on limited partnerships, local VC/PE fund licensing, regulatory and tax
frameworks, and incentives to give Ghana’s VC/PE market a competitive regional edge.Support industry pipeline, talent and skills development as well as collaboration among
pension funds, insurance firms, VC firms, regulators, through continuous professional
development, institutional capacity building and technical assistance activities being led by the
Ghana Venture Capital Association.Deepen the financial ecosystem by committing resources to long-term value creation that
enhances SMEs’ products, markets, and competitiveness.
Why This Matters for Ghana
With over half of Ghana’s population under 25, economic growth depends on financing equity
markets to build local businesses led by entrepreneurs who create jobs and drive industrial
transformation. This Compact ensures pension and insurance funds diversify to become
catalysts for innovation and prosperity by deploying capital into high-growth sectors.
By implementing this Compact, we aim to modernise Ghana’s VC/PE investment landscape, align
with global best practices, and lead African financial innovation. The Compact also guides pension
and insurance asset managers to leverage alternative investments to improve portfolio risk
management and enhance returns.
Together, we commit to fueling national development, creating sustainable employment,
providing innovative solutions, and unlocking long-term economic potential.
Become a Signatory Today
info@gvca-ghana.org
Signatories:
