Ghanaian banking customers are increasingly shifting toward low-risk investment options amid inflationary pressures and currency depreciation, according to the 2024 KPMG West Africa Banking Industry Customer Experience Survey.
The survey reveals that 39% of customers prefer treasury bills as a secure investment choice, while 25% opt for fixed-term deposits. Higher-risk investments, such as stocks and bonds, saw a lower preference, with 19% and 9% of customers investing in them, respectively.
However, mutual funds are gaining traction, accounting for 23% of investments.
Generational Investment Trends
The report highlights generational differences in investment behavior. Individuals over 60 are increasingly investing in treasury bills to preserve wealth. Meanwhile, millennials (ages 26-41) are investing less, with the percentage of non-investors rising from 17% in 2023 to 32% in 2024, due to financial pressures such as rent and family obligations.
In contrast, Gen Z investors are demonstrating stronger financial discipline, with 13% saving between 21% and 40% of their monthly income, indicating a growing culture of savings among younger investors.
Investment Priorities & Barriers
Beyond traditional investments, Ghanaians are prioritizing personal development and family welfare.
- 24% of respondents are investing in skill acquisition and business ventures, reflecting a drive for career advancement and financial independence.
- 24% are allocating funds to education, healthcare, and family needs, reinforcing the significance of household financial security.
- 22% are focusing on wealth creation through investments in property sales and business expansion.
While 34% of respondents express openness to higher-risk investments, knowledge gaps remain a significant barrier to diversification.
Opportunities for Banks
The report emphasizes the need for banks to offer tailored financial literacy programs and advisory services to help customers explore alternative investments, such as real estate and commodities.
With the rise of digital banking, financial institutions have a unique opportunity to boost investment participation through accessible, user-friendly platforms.
As Ghanaians seek long-term financial security, banks that provide personalized investment solutions and education will strengthen customer trust and engagement in the evolving financial landscape.