World Bank projects a slowdown in Ghana’s economy despite expectation of improved growth

The World Bank predicts a slowdown in Ghana’s economy in 2024, despite the expectation of improved economic activity.

Per the projections by the Word Bank, while there might be increased economic activity, the pace of growth is expected to slow down compared to previous periods.

The projections were captured in its April 2024 Africa Pulse Report.

It has also projected an end-of-year Gross Domestic Product (GDP) growth rate of about 3% for Ghana.

The projections align with the government’s 2.8% growth rate but suggest moderate economic growth for the country.

Meanwhile, the report says the GDP will jump significantly to about 5% in 2025.

Aside from these figures, Ghana’s contribution to the regional GDP growth among the largest economies in the region is projected to be around 0.10%.

Ghana’s economy has a modest impact on the overall economic growth of the region, the report added.

The World Bank further highlighted that economic growth in the region is expected to accelerate to 3.4% in 2024, with further improvement to an average rate of 3.9% in 2025-26.

This indicates a general trend of economic recovery and expansion across Sub-Saharan Africa during the specified period.

Despite the slowdown expected in Ghana, the overall regional outlook suggests a favourable trajectory for economic growth in Sub-Saharan Africa, which could be influenced by various factors including commodity prices, investment flows, and policy measures implemented by governments in the region.

The World Bank called for several policy actions to foster stronger and more equitable growth. These include restoring macroeconomic stability, promoting inter-generational mobility, supporting market access, and ensuring that fiscal policies do not overburden the poor.