Ghana\u2019s growing financial services sector could be boosted by investments totaling up to GH\u20b5375 million (US $100m) from a new fund announced today by LeapFrog Investments.<\/p>\n
The GH\u20b51,5 billion (US $400m) fund will invest in high growth businesses in Africa and Asia.<\/p>\n
LeapFrog is the world\u2019s largest dedicated equity investor in emerging markets financial services, with partner companies serving 22.7 million people across 16 countries.<\/p>\n
Ghana is a priority country for the firm.<\/p>\n
\u201cWith its liberal, stable market and forward-looking investment climate, Ghana is a regional leader,\u201d said Doug Lacey, LeapFrog partner.<\/b> \u201cGiven the vast number of consumers demanding financial tools for the first time, the Ghanaian financial services sector is an exceptional investment opportunity.\u201d<\/p>\n
While Ghana\u2019s economy is growing fast, less than 16% of Ghana\u2019s 20 million consumers save at a financial institution and only 5% have insurance.<\/p>\n
But recent regulatory reforms have helped to make these products available to the majority of the population for the first time. As a result, there is rapidly expanding demand for financial services. The pensions market, for example, is expected to expand by 400% in the next four years.<\/p>\n
An early pioneer of insurance in Ghana, Lacey has over 30 years executive experience in insurance in Africa.<\/p>\n
He was recently named a Top 10 Industry Leader by Africa Asset Management. \u201cWith our new fund we\u2019ll be looking to invest in financial services businesses with strong management teams, a focus on the emerging consumer, and an appetite for growth and profitability,\u201d he said.<\/p>\n
LeapFrog\u2019s fund will make equity investments of up to to GH\u20b5180m in any one company.<\/p>\n
These must be established businesses that deliver insurance, savings, pensions, investments, credit, remittances or payments.<\/p>\n
LeapFrog has a strong track record in Ghana.<\/p>\n
In 2012, LeapFrog took a majority stake in leading life insurer Express Life in what was at the time the largest private foreign investment in Ghana\u2019s insurance industry.<\/p>\n
In March 2014, after successfully building the company, LeapFrog sold its stake to Prudential PLC, which was making its first step into insurance in Africa.<\/p>\n
And earlier this year, LeapFrog took a 25% stake in leading independent pensions provider Petra Trust.<\/p>\n
Kofi Fynn, Managing Director of Petra Trust<\/b> said, “We decided to partner with LeapFrog because we found them to be unique for the specialist, hands-on operational support they offer to company leaders. LeapFrog is helping us build our reach into new markets and into the emerging consumer market in particular. They have extensive experience and deep know-how.”<\/p>\n
Backers of the new LeapFrog fund include leading development financiers CDC, DEG, EIB and FMO; six of the world\u2019s leading insurers; three of the world\u2019s leading reinsurers; major pension funds; and global asset managers.<\/p>\n
Source:\u00a0 <\/b>LeapFrog Investments<\/p>\n","protected":false},"excerpt":{"rendered":"
Ghana\u2019s growing financial services sector could be boosted by investments totaling up to GH\u20b5375 million (US $100m) from a new fund announced today by LeapFrog Investments. The GH\u20b51,5 billion (US $400m) fund will invest in high growth businesses in Africa and Asia. LeapFrog is the world\u2019s largest dedicated equity investor in emerging markets financial services, […]<\/p>\n","protected":false},"author":14,"featured_media":46306,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":[],"categories":[19],"tags":[4],"yoast_head":"\n