Accra, July 29, GNA - The Ghana Stock Exchange maintained its lead in the first half of 2008 among African Stock Markets with investors gaining more than 50 per cent in returns.

The GSE All-Share Index, the benchmark measure of performance of the bourse, moved up from 6,718.88 points at the beginning of January to 10,346.30 in June, representing a half year gain of 56.77 per cent. This compares with a gain of a mere 5.76 per cent for the same period in 2007.

The gain in the index at the half-year stage is above the prevailing annual interest equivalent on 91-day treasury bills of 16.3 per cent at the end of June, 2008. It was also above the June 2008, twelve-month inflation rate of 18.41 per cent. Officials of the GSE believe that with the automation project almost complete, the gain so far made would be sustained and even improved.

"The general expectation is that the Exchange is positioning itself for another outstanding performance, which won it the best performing market in Africa if not in the world in 2003," the Exchange said in its review of the half-year.

"With the GSE automation project complete, it is expected that there will be increased trade volumes, better price recovery and transparency in the market. All these are expected to deepen the market and impact positively on its performance." Market activities were generally upbeat and steady, with most companies recording significant capital gains. Liquidity was also on the high side as demand and offers for shares assumed appreciable levels compared to the previous year, allowing most trades to be effected. Market capitalization rose from GH¢12,513.05 million in January to GH¢15,587.76 million at the close of June, an increase of GH¢3,074.71 million due mainly to increases in share prices of most of the listed companies.

Traded volumes during the 124 trading sessions for the period were 189.08 million shares valued at GH¢196.53 million compared to 135.85 million shares valued at GH¢78.61million for the first half of 2007. The increases represent 36 per cent in volume and 150 per cent in value terms over the six months of the year. The major contributor to the volume and value increases was SIC Insurance Company Limited, which went up by 33.73 per cent and 59.80 percent of total and volume respectively. 29 July 08