The Ghanaian economy is on the mend despite facing significant challenges in recent years, according to a Deloitte analysis of the 2024 Mid-Year Budget.
The positive outlook is based on government data presented by Finance Minister Dr. Mohammed Amin-Adam.
Unlike previous years, the government did not request additional funding from parliament
Instead, the mid-year review focused on assessing the progress of the 2024 budget and revising key economic indicators.
Deloitte expressed optimism about the economy’s trajectory, particularly the 6.8% expansion of the industry sector in the first quarter of 2024.
This marks a significant turnaround after a contraction in 2023 and minimal growth in preceding years. The mining and quarrying subsectors were the primary drivers of this growth, fueled by rising global commodity prices.
The consulting firm expects this positive trend to benefit the overall economy by creating jobs, increasing wages, and improving community infrastructure.
Overall GDP is projected to grow by 3.1% in 2024, an upward revision from the initial forecast of 2.8%. Non-oil GDP is also expected to rise to 2.8% from the previously estimated 2.1%.
The government anticipates an average annual GDP growth rate of 4.4% between 2024 and 2027.
In 2023, the Ghanaian economy expanded by 2.9%, surpassing the revised target of 2.3%. The service and agriculture sectors led the growth, while the industry sector contracted by 1.2%.
Deloitte’s assessment suggests that the government’s confidence in the economy is improving, which could positively impact investor sentiment.
