By Juliet ETEFE ([email protected])
Deputy Managing Director of Wholesale Banking at Fidelity Bank Ghana, Kwabena Boateng, has called for a bold rethink of the country’s pension and investment strategies to align with national economic goals and ensure financial security for citizens.
Speaking at the 2025 edition of the Money Summit hosted by the Business and Financial Times (B&FT) at the Kempinski Hotel Gold Coast City, Accra, Mr. Boateng emphasized the urgent need to optimize investment and pension management in light of evolving economic challenges.
Under the theme, “Optimizing Investment and Pensions Management: Strategies for Sustainable Retirement Income and Economic Growth,” the summit brought together policymakers, financial experts, and industry stakeholders to examine innovative strategies for boosting investor confidence and building a resilient economy.
In his speech, Mr. Boateng lauded B&FT for continuously providing a strategic platform that fosters meaningful dialogue around Ghana’s financial well-being. He noted Fidelity Bank’s pride in being a consistent partner of the event, stating that the bank’s involvement stems from a genuine commitment to contribute to national development beyond profit-making.
“As Ghana’s largest privately-owned indigenous bank, we believe we have a unique responsibility to help solve the challenges our economy faces. We actively participate in forums like this to contribute our expertise, learn from others, and work collectively towards a more robust financial future,” Mr. Boateng said.
Capital Markets and macroeconomic stability
Focusing on macroeconomic strategies, Mr. Boateng proposed a paradigm shift in Ghana’s traditional approach to managing inflation and investment flows.
He urged policymakers to promote the use of capital markets—such as bonds and equities—for medium- to long-term financing by SMEs and large corporates, rather than relying solely on raising interest rates to tighten credit.
“By redirecting domestic capital into productive sectors through the capital markets, we reduce pressure on the banking system and enable more sustainable growth,” he explained.
However, he acknowledged the existing challenge where high Treasury bill (T-bill) rates deter investors from opting for longer-term instruments, making it crucial to stabilize macroeconomic fundamentals like inflation and fiscal discipline.
Pension reforms
Mr. Boateng also spotlighted a landmark 2021 regulation by the National Pensions Regulatory Authority (NPRA), which allows for the creation of constituent funds within pension schemes. This policy, he said, has the potential to unlock pension capital for alternative investments such as infrastructure, private equity, and green finance.
By tailoring investment strategies to specific demographic segments—such as younger contributors with higher risk tolerance—pension schemes can deliver more optimal outcomes. However, he noted that implementation has been slow, and called on the NPRA to expedite the rollout.
“If we are serious about unlocking the full power of pension funds for national development, we must embrace the tailored approach this framework allows,” he emphasised.
Investing in talent and quality
Touching on cost management in the pension fund space, Mr. Boateng cautioned against the growing trend of fee minimization, warning that it risks sacrificing the quality of service and expertise.
He backed ongoing discussions on setting a minimum fee threshold for pension fund managers, arguing that sustainable and professional fund management requires skilled talent.
“Cost matters—but not at the expense of quality. Let’s not undermine the very people we need to safeguard our retirement savings,” he stated.
Fidelity Bank’s commitment
Reaffirming Fidelity Bank’s commitment to inclusive and sustainable development, Mr. Boateng said the bank’s long-term approach has guided its operations over the past two decades.
“That future must be inclusive. It must be sustainable. And it must be grounded in the realities of everyday Ghanaians—people who simply want to live with dignity today and retire with peace tomorrow,” he said.
