Ghana’s economy poised for 3.4% growth in 2024 – IC Africa

IC Africa, a research firm, has predicted a 3.4% economic growth for Ghana in 2024, a slight increase from the 2.9% growth rate in 2023.

This forecast is lower than the 4.3% growth rate projected by Fitch Solutions.

The firm attributes the expected growth to a rebound in industrial activities, particularly in the extractive sector, construction, and manufacturing. The services sector, driven by ICT, trade, hospitality, finance & insurance, and transport & storage, is also expected to support growth, with election-related spending serving as a catalyst.

Ghana’s real sector showed signs of recovery in Q1 2024, with a 4.7% year-on-year growth in real GDP, the highest quarterly growth since Q2 2022. The industrial sector expanded by 6.8% year-on-year, while agriculture and services grew by 4.1% and 3.3%, respectively.

However, non-oil real GDP growth slowed to 4.2% year-on-year in Q1 2024.

Due to the IMF’s induced fiscal restraint, the services sector’s growth moderation reflects contractions in fiscal-dependent sectors.

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