Ghana is clamping down on private pension fund managers who want to invest in offshore assets on concerns it could worsen pressure on its cedi currency, three industry sources told Reuters.
After pension reforms in 2010, workers retirement contributions in the worlds number two cocoa producer enjoyed strong growth, buoyed by a tiered scheme that allow private firms to manage some contributions.
Assets under management by the pension fund industry were 78.2 billion Ghanaian cedis 4.93 billion in June, of which over 73 were managed by 39 private fund management firms.
Ghanas state-run pension fund handles tier one contributions towards employees monthly retirement benefits, which are mandatory, while private firms manage tiers two and three - mandatory and voluntary contributions respectively - for lump-sum payment at or before retirement.
The majority of contributions are invested in Ghanaian assets, including Ghana government Eurobonds.
