Ghana Records Strong Growth in Economy
Ghana’s economy recorded strong growth in the second quarter of this year, much higher than the previous quarter.
New figures recorded by the Ghana Statistical Service reveal that Ghana grew by 9.0 percent as compared to the same period last year which had a growth of 1.1 percent.
Industry led the growth followed by the services sector.
The growth recorded in 2017 second quarter is an astronomical jump from the figure recorded in the first quarter this year.
In the first quarter of this year, growth was at 6.6 percent led by the same industry sector.
Growth however for the second quarter shot up by 9 %, largely influenced by the industry sector again.
According to figures from the Ghana Statistical Services measured in terms of value at current prices, the economy, including oil is worth some 45.3 billion cedis compared to the little above 38 billion cedis recorded the previous year.
While without oil it is worth 43.3 billion cedis compared to 37.6 billion recorded in the same period last year.
Acting Government Statistician Baah Wadie explained that oil and gas was a major contributor.
“The contribution of the mining and quarrying sub sector far out stretches the other sectors, oil and gas alone grew by over 188% and it is because some of the FPSOs increased production and we also had oil from Sankofa and TEN”.
Meanwhile Industry recorded the highest growth of 19.3 percent, followed by Services at 5.6 percent with Agriculture was at 3.4 percent. In the Agriculture sector, the fishing subsector contracted by negative 17.6 percent while crops and cocoa grew by 8.3%.
Mining and quarrying which propelled the country’s growth grew by 75% the highest recorded in the industry sector. Construction recorded the lowest growth at 0.8%.
Meanwhile health and social work recorded the highest growth of 18.3% in the services sector whiles hotels and restaurants was at 1%.
Mr. Wadieh explained that the other sectors that contributed to this growth were health and social work.
“We have health and social work which also grew by 18. 3 %, we have Information and Communication growing by 15. 6% and the Water and Sewage by 13.3%. Education by 9.6 % and Crops by 8.3% with cocoa growing by 15.6%
Meanwhile, in terms of sectorial distribution to the economy, the services sector maintained its dominance with 62 percent up from the 59 % recorded in the first quarter of this year.
Industry follows with 26.5% and Agriculture at 11.5% a marginal decrease from the 14.3% recorded in the first quarter this year.
Finance Minister, Ken Ofori Atta this year, during his budget presentation to parliament announced government has targeted an annual GDP of 6.3%. But some economist have described the figure as over ambitious.