Ghana has made significant strides in achieving gender diversity in the boardrooms of its listed companies, according to a new report by TheBoardroom Africa (TBrA) and Alitheia Capital. The report, titled Ghana Board Diversity Index 2023, reveals that the number of women on the boards of Ghana-listed companies increased by 12% from 67 in 2022 to 75 in 2023. This is the highest growth rate among African countries and reflects the efforts of various stakeholders to promote women’s leadership and representation in the corporate sector.
The report provides a comprehensive analysis of the current state of gender diversity in Ghana’s listed boardrooms, as well as the factors that influence it. Some of the key findings include:
- Women Chairs have a significant impact on boardroom diversity. Companies led by women as Chairpersons have significantly higher boardroom diversity, with 80% having 30% or more women on their boards, while only 26% of companies with male Chairs reach this threshold.
- The number of women holding C-suite or Chair positions has increased. Women now account for 14% of Chairs, 12% of CEOs/MDs, 22% of CFOs, and 13% of COOs on Ghana’s listed boards. However, while the number of Chairs, CFOs, and COOs has increased by 2%, 5%, and 7%, respectively, the number of CEOs/MDs decreased by 1% compared to 2022.
- Companies with women board directors are also on the rise. A positive trend shows that 89% of listed companies have at least one woman on their board, compared to 88% in the previous year.
- Consumer-facing sectors attract more women directors. Sectors like advertising & communications, fast-moving consumer goods, and telecommunications stand out, with 100% of their companies having more than 30% women directors.
- The financial services sector boasts the highest number of women board directors in Ghana, with 34 (45%) women directors.
- Male-only boards are on the decline. The proportion of listed companies without women on their boards decreased from 12% in 2022 to 11% in 2023.
The report also highlights the benefits of gender diversity for business performance and governance, as well as the challenges and opportunities for advancing this agenda. It calls for a collaborative effort from all stakeholders, including businesses, policymakers, civil society, and development partners, to create an enabling environment for women’s empowerment and participation in leadership roles.
The report’s co-authors, Marcia Ashong, Founder and CEO of TBrA, and Abena Amoah, Managing Director of the Ghana Stock Exchange (GSE), expressed their optimism and commitment to supporting gender diversity on listed boards.
“While acknowledging the progress made, Ghanaian listed boards possess the potential to drive enduring change by strategically embracing key factors that fuel progress toward gender diversity. These factors include fostering an inclusive culture and securing an unwavering commitment from top leadership to prioritize and champion gender diversity,” Ashong said.
“Gender diversity is not just a moral imperative but a catalyst for good governance and enhanced stock performance. The evidence is clear that companies that prioritize diversity at all levels of leadership make better decisions, drive innovation, and ultimately deliver stronger financial results. At the GSE, we see gender diversity as a fundamental component of responsible and sustainable business practices, and we are committed to supporting our listed companies in achieving greater diversity and, in turn, greater success,” Amoah said.
The report is part of a series of Board Diversity Index reports that TBrA and Alitheia Capital produce annually to track and measure gender diversity on corporate boards across Africa. The aim is to raise awareness and inspire action for more inclusive and representative boardrooms that reflect the continent’s diversity.
Source: MyJoyOnline
