Credit: Kekeli K. Blamey
Ghana’s economy grew by 5.7% in 2024, up from a revised 3.1% growth in 2023, according to provisional figures from the Ghana Statistical Service.
However, the growth rate slowed down significantly in the fourth quarter, plummeting to 3.6% from 7.2% in the third quarter.
The Services sector remains the largest contributor to Ghana’s economy, accounting for 47% of the Gross Domestic Product at basic prices. The Industry and Agriculture sectors followed, recording growth rates of 30.8% and 22.2%, respectively.
Professor Samuel Kobina Annim, government statistician attributed the slowdown in the fourth quarter to contractions in various sectors, including mining and quarrying. “The fall in the growth rate for the fourth quarter was due to contractions within the agriculture and industry sectors,” he explained.
The mining and quarrying sub-sector, as well as the Oil and Gas sector, saw significant contractions, affecting the overall growth of Ghana’s economy. The cocoa sub-sector also continued to decline, recording a -21.4% contraction in the fourth quarter.
On a positive note, the Information and Communication sector expanded the most within the services sector, while health and social work contracted in the fourth quarter.
The slowdown in Ghana’s economic growth in the fourth quarter of 2024 raises concerns about the country’s ability to sustain its growth momentum. However, the overall growth rate of 5.7% for 2024 is a positive sign, and the government will need to implement policies to address the challenges facing the economy.
