World Bank confirms Ghana’s growth for 2024 at 2.9%

The World Bank has pegged Ghana's Gross Domestic Product (GDP) growth for 2024 at 2.9%. In its June 2024 Global Economic Prospects, the World Bank stated that economic activities in the country remained subdued, reflecting the dampening effects of fiscal consolidation and high inflation on domestic demand. However, the international financial organisation projects that Ghana's GDP growth would surge significantly from 2.9% to 4.4% in 2025. This the World Bank says is because of ongoing fiscal revenue and expenditure reforms would gradually bear fruit. 'Growth is expected to improve in Ghana in 2025, after weak growth in 2024, as ongoing fiscal revenue and expenditure reforms gradually bear fruit. However, current account deficits in industrial-commodity exporters are expected to widen further.' Although the World Bank projected a growth in GDP for Ghana in the year 2025, it pointed out that risks to the outlook are tilted to the downside. What that means is that factors such as global geopolitical tensi ons, especially an escalation of conflict in the Middle East; a further deterioration in regional political stability; increased frequency and intensity of adverse weather events and many others. Meanwhile, growth in Sub Saharan Africa is projected to pick up from 3.0% in 2023 to 3.5% in 2024 and about 4.0% annually in 2025-26. The report read, 'Growth in the region's three largest economies [Nigeria, South Africa, Egypt] is expected to accelerate from 1.8% in 2023 to 2.4% in 2024 and an average of 2.6% in 2025-26. However, this is markedly below the region's average growth, and historical trends.' Source: Ghana Web