Ghana’s economy shows strong recovery with 5.8% GDP growth in first half of 2024

The Ministry of Finance has announced that Ghana’s economy is rapidly recovering, with significant GDP growth, despite global challenges and ongoing debt restructuring efforts. According to the ministry, the rebound is due to macroeconomic stability and growth interventions pursued under the IMF-supported Post Covid-19 Programme for Economic Growth (PC-PEG).

“Overall Real GDP growth for the first half of 2024 rebounded strongly, with year-on-year GDP growth averaging 5.8%, significantly higher than the 2.9% recorded in the same period in 2023,” the Ministry of Finance said. The growth was driven by a 4.8% expansion in Q1 2024 and 6.9% in Q2 2024, with the Q2 growth being the highest quarterly GDP growth recorded in the last five years.

Non-oil GDP growth also increased by 5.6%, up from 3.8% in the first half of 2023. The government noted that this 5.8% growth for the first half of 2024 exceeds the original target of 1.5%, which was later revised to 3.1% in the 2024 Mid-Year Review of Fiscal Policy.

Sector contributions to the strong recovery included 8.0% growth in the industry sector, supported by increases in mining, oil and gas, construction, and manufacturing. The agriculture sector expanded by 5.0%, led by crops, fishing, and livestock sub-sectors. The services sector grew by 4.4%, with significant contributions from information and communication, accommodation, financial services, and transportation.

The Ministry stated that the government remains committed to restoring macroeconomic stability through programs like Planting for Food and Jobs Phase 2, SME Growth and Opportunity Programme, and 1 District 1 Factory, which aim to improve the living conditions of Ghanaians.