Over 100 traders duped by ‘Susu’ firm in Western Region. Plus, SIC stocks skyrocket 322%!

Ghana’s financial landscape is experiencing a sharp contrast of optimism and caution. As the Ghana cedi holds steady against major currencies, local and global events, from suspected financial fraud in the Western Region to gold market volatility, are shaping economic sentiment.

Western Region Susu Scam: Over 100 Traders Reported Defrauded

A major financial scandal has rocked the Shama District in Ghana’s Western Region, where over 100 market traders have reportedly been defrauded by a rogue micro-savings scheme operating under the name Business for Home Susu Company.

Originally disguised as AKGMB Multilevel Business, the unlicensed firm allegedly collected savings from traders in Aboadze, Abuesi, Inchaban, Dwomo, and Nyankrom but failed to return the funds. The suspect, identified as Michael Kojo Assan Genesis, was arrested after traders raised concerns over delayed withdrawals and suspected fraudulent activity.

“He asked customers for time to repay, saying the funds were given out as credit, but none of us believed him,” said one victim, Comfort Cudjoe, on Connect 97.1 FM.

Police investigations have confirmed that Michael was not just a branch manager but the owner of the operation, raising red flags over the unregulated nature of susu collection schemes in underserved communities. Authorities have assured the public that he will face court proceedings soon.

Implication: This event highlights the importance of financial literacy and the need for stronger regulatory enforcement to safeguard informal savers.

Africa World Airlines to Slash Fares and Launch Ouagadougou Route

Africa World Airlines (AWA) has announced plans to reduce airfares before the end of June, offering a breath of relief to domestic travellers.

Speaking at a corporate soiree, AWA’s Communications Manager, Godfred Essel, cited Ghana's stable cedi and a commitment to affordable and safe air travel as the primary drivers.

“Starting July 1, AWA will operate direct flights from Accra to Ouagadougou,” Essel added. “With fares starting at just $290, it’s the cheapest and fastest option.”

AWA also reiterated its impressive safety record over 12 years, one of the best in West Africa. The move is expected to bolster tourism, improve regional connectivity, and deepen trade between Ghana and Burkina Faso.

Fitch Warns: Falling Gold Prices Could Threaten Ghana’s Forex Reserves

UK-based Fitch Solutions has issued a sobering warning about Ghana’s foreign reserves. The agency said that a global drop in gold prices, potentially caused by geopolitical stability or shifts in U.S. trade policies, could severely weaken Ghana’s macroeconomic foundation.

Ghana’s reserves are heavily dependent on gold exports. A slump in gold value could:

• Undermine the Bank of Ghana’s ability to defend the cedi,

• Keep inflation elevated,

• Force the central bank to maintain higher interest rates for longer.

  
  

Conversely, Fitch added that continued appreciation of the cedi, if gold prices stabilise, would lead to:

• Lower inflation,

• Increased private consumption,

• A more relaxed monetary policy from the central bank.

  
  

Government consumption, however, is expected to decline in 2025 due to IMF-mandated fiscal consolidation.

Quick Market Overview (from Cedi Board® Visual)

• USD/GHS: Holds steady at GH¢10.31, down ~28.65% from GH¢14.45 a year ago.

• Gold Price (1oz): Drops sharply to GH¢36,272.01, down over GH¢8,100 since November.

• Camel Antiseptic (250ml): Up 16% to GH¢29.00, signalling inflationary pressures in everyday health goods.

  
  

Investor’s Insight: SIC’s Explosive Growth Continues

SIC has become one of the standout performers on the Ghana Stock Exchange, delivering a stunning 322.22% year-to-date return.

💡 An investment of GH¢100,000 in January 2025 would now be worth over GH¢422,000.

The insurer’s strong fundamentals and dividend potential are drawing renewed interest from both retail and institutional investors.

Stay tuned to the Cedi Board® for real-time updates on Ghana’s financial pulse. From prices and policy to investment tips that help you make sense of the numbers.