The Ministry of Finance has reported that the latest GDP figures from the Ghana Statistical Service (GSS), released on September 18, 2024, reveal a strong recovery of the Ghanaian economy despite global challenges and ongoing debt restructuring efforts.
According to the Ministry, this recovery is largely attributed to the government’s initiatives aimed at achieving macroeconomic stability and growth through the IMF-supported Post-COVID-19 Programme for Economic Growth (PC-PEG).
It noted that in the first half of 2024, overall real GDP growth averaged 5.8%, a notable increase from 2.9% in the same period last year. This growth was driven by a 4.8% rise in the first quarter and a remarkable 6.9% in the second quarter, marking the highest quarterly growth in five years.
Non-oil GDP growth also showed significant improvement, reaching 5.6% in the first half of 2024, up from 3.8% during the same period in 2023, supported by a 4.3% increase in Q1 and a 7.0% rise in Q2.
“Importantly, the 5.8% growth recorded for the first half of 2024 exceeds the initial growth target of 1.5% for the year, which was later revised to 3.1% in the Mid-Year Review of Fiscal Policy presented in July. Ghana’s growth performance stands out compared to other countries that have undergone similar debt restructuring, such as Jamaica, which experienced average growth of only 1%-2% over a decade following its own restructuring.” The Ministry of Finance said
All three sectors of the economy—Agriculture, Industry, and Services—contributed to the robust growth:
– The **Industry** sector achieved an average growth of 8.0% in the first half of 2024, recovering from a contraction of 2.0% in the same period last year. Key contributors included:
– 13.9% growth in Mining and Quarrying
– 9.9% in Oil & Gas
– 8.3% in Construction
– 2.8% in Manufacturing
– The **Agriculture** sector grew by 5.0%, driven by:
– 5.6% growth in Crops
– 4.7% in Fishing
– 4.7% in Livestock
– The **Services** sector expanded by 4.4%, supported by:
– 7.4% growth in Accommodation & Food Services
– 15.3% in Information and Communication
– 6.5% in Financial and Insurance Activities
The government is committed to maintaining macroeconomic stability, which is essential for promoting inclusive growth. Ongoing initiatives, including the Planting for Food and Jobs Phase 2 Programme, the SME Growth and Opportunity Programme, and the 1 District 1 Factory Programme under the Ghana CARES Programme, are expected to further consolidate economic recovery and improve living conditions for Ghanaians.
