Economy
From The Report: Ghana 2024
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Although impacted by the Covid-19 pandemic and other external shocks, the local currency has managed to regain much of its value against the US dollar since its low in November 2022, while GDP growth is projected to maintain an upward trajectory into 2024 and 2025. Ghana is the continent’s leading exporter of gold and its second-largest cocoa producer, and its political stability makes it attractive to those investors looking to enter the African market. Strong commodity prices have also been supportive of the country’s economic growth, while the government’s efforts to support economic diversification and infrastructure development are set in turn to boost job creation and productivity.

This chapter contains interviews with Ken Ofori-Atta, Minister of Finance; Yofi Grant, CEO, Ghana Investment Promotion Centre; and Ammishaddai Owusu-Amoah, Commissioner-General, Ghana Revenue Authority.

Articles from this Chapter

Overview

Policy shifts: Investment inflows, fiscal measures and the digital economy are creating economic opportunities amid global headwinds
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Ghana’s economic trajectory throughout the previous decade has been positive, with growth peaking at 13.9% in 2011 on the back of strong oil revenue from the offshore Jubilee Field and solid performance in the gold and cocoa export markets. It has not been entirely smooth sailing during that time, however, with multiple bailout agreements signed with the IMF, the most recent a $3bn extended credit facility (ECF) agreement approved in May 2023. Like many economies, Ghana was heavily impacted by…

Interview

Renewed strength: Ken Ofori-Atta, Former Minister of Finance, on boosting resilience through structural reforms and restoring debt sustainability
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Interview:Ken Ofori-Atta What are the key effects of the IMF’s extended credit facility on the economy over the medium term? KEN OFORI-ATTA: The extended credit facility aims to facilitate large and front-loaded fiscal consolidation to re-establish public finances on a sustainable path. Fiscal consolidation will be executed by mobilising more domestic revenue and improving the efficiency of public spending. To restore debt sustainability, domestic and external debt restructuring is expected…

Analysis

Trade horizons: Participation in free trade agreements is helping Ghana tap into new markets and foster economic connectivity across Africa
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The African Continental Free Trade Area (AfCFTA), established in 2018, is the world’s largest free trade area by number of member states, second only to the World Trade Organisation. As of October 2023 all countries on the African continent – with the exception of Eritrea – had signed the AfCFTA agreement, and 47 out of 54 countries had ratified it. Amid trade tensions between the US and China that began in January 2018, coupled with the disruptions caused by the Covid-19 pandemic, the global…

Interview

Continental scale: Yofi Grant, CEO, Ghana Investment Promotion Centre (GIPC), on developing a single African market and digitalising services
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Interview:Yofi Grant How does the African Continental Free Trade Area (AfCFTA) enhance Ghana’s investment appeal? YOFI GRANT: As the largest trading bloc in the world, with a membership of 54 countries covering a population of 1.3bn people and an estimated GDP of $3.4trn, the AfCFTA presents significant opportunities for Ghana, especially as host of the trading bloc’s secretariat. Through its role in coordinating the implementation of the trade pact, Ghana is positioned to become the…

Interview

Widening the net: Ammishaddai Owusu-Amoah, Commissioner General, Ghana Revenue Authority, on boosting tax revenue and compliance through digitalisation and cross-border collaboration
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Interview:Ammishaddai Owusu-Amoah How has the digitalisation of tax collection contributed to revenue mobilisation? AMMISHADDAI OWUSU-AMOAH: The impact of technology and digitalisation on Ghana’s tax administration has been significant, improving efficiency in both tax collection and revenue generation. About 50 companies participated in phase one of the new electronic tax invoice system, which lasted from October 2022 to June 2023, with a full-scale rollout scheduled for 2024. Additionally,…

Analysis

Greenlighting bonds: Markets around the globe are increasingly issuing green and social bonds in an effort to support sustainable growth
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In 2022 significant political efforts propelled the energy transition, leading to a record-breaking year in green finance. Governments, international institutions and lenders actively backed the shift to renewables. In tandem, projections indicated that renewable energy capacity would reach a record 440 GW in 2023. Notably, green bond issuance reached $351bn in the first half of the year. This marks a 22% increase on figures for the same period of 2022 and outstrips the previous record set for the…