Ghana’s forward looking economic growth of 7% GDP since 2020 has heavily been crippled with a double whammy of Covid 19 pandemic and Russia- Ukraine war.
Presenting the mid-year budget review on the floor of parliament, Ghana’s finance minister, Dr. Mohammmed Amin Adam reported that through prudent fiscal measures and significant consolidation on commitment basis the Ghanaian economy is gradually returning to growth stage during the pre covid era with overall real GDP growth rates revised upwards from 2.8% to 3.1%, while non-oil real GDP growth rate is also revised upwards from 2.1% to 2.8% in the first quarter of 2024.
He added that it is crucial to revise the 2024 macroeconomic framework due to recent domestic and global economic developments, including the impact of the debt restructuring, key revisions to the macro fiscal targets for 2024 include overall real GDP growth rates revised upwards from 2.8% to 3.1%.
Amin Adam also added that the local currency in the first half of 2024, depreciated by 18.6%, 17.9% and 16% against the US dollar, the pound sterling and the euro compared to the 22%, 26.3% and 23.8% rate of depreciation in the first half of last year 2023 respectively.
However, civil society organizations, economists and the minority in parliament have blamed the country’s current economic challenges as self-inflicted ascribing the situation to government reckless expenditure and corrupt practices.
Report by Christopher Atitso