Ghana recorded GH¢7.4 billion worth of informal cross-border trade (ICBT) during the final quarter of 2024, representing about 4.3 percent of total trade, according to the latest report by the Ghana Statistical Service (GSS).
The findings, released in Accra, highlight the immense contribution of unrecorded trade to Ghana’s economy and underscore the importance of integrating informal traders into mainstream economic planning.
The data, compiled from 321 border points across 10 regions, forms part of Ghana’s first-ever comprehensive assessment of informal cross-border trade.
The report measured both imports and exports of goods and services not captured in official trade records but actively contributing to economic livelihoods, food supply, and regional integration.
“This report gives visibility to thousands of traders and transporters whose activities sustain local economies but have long gone unrecorded,” said Dr. Alhassan Iddrisu, the Government Statistician. “We are now able to put numbers to a sector that has operated in the shadows for decades.”
Of the GH¢7.4 billion total value, informal exports accounted for 52 percent, while imports made up 48 percent, showing near parity between goods moving in and out of the country.
The data demonstrate how informal trade acts as a stabilizing force for border communities, supporting livelihoods through micro-transactions that complement formal trade.
Dr. Iddrisu explained that the survey captured goods moving through unofficial entry points, including head portage, bicycles, motorbikes, and canoes across borders with Togo, Côte d’Ivoire, Burkina Faso, and other neighboring countries.
Analysts say informal cross-border trade remains a lifeline for rural economies, particularly where infrastructure is poor and access to formal markets is limited.
Many small traders, especially women, rely on cross-border exchanges of food, beverages, clothing, and household goods to sustain their families.
However, the report also revealed that most informal exchanges occurred at Ghana’s southern borders, notably with Togo, where traditional market linkages are deeply rooted.
Northern borders with Burkina Faso were dominated by livestock and grain exchanges, while western crossings with Côte d’Ivoire involved palm oil, cocoa products, and processed foods.
It is observed that informal trade, though largely unregulated, plays a critical role in food security, job creation, and regional integration, wthout it, many border communities would face economic isolation.
The GSS noted that capturing informal trade data is essential for designing inclusive economic and trade policies under the African Continental Free Trade Area (AfCFTA). By quantifying the flow of goods outside formal systems, policymakers can better estimate Ghana’s real export potential and trade balance.
“Informal trade tells us that the true size of Ghana’s border economy is much larger than previously thought,” Dr. Iddrisu said. “This evidence will help design policies that support traders with finance, infrastructure, and simplified customs processes.”
He added that the exercise also aligns with the ECOWAS Trade Liberalization Scheme (ETLS), which encourages data harmonization among member states to facilitate easier movement of goods and services within the subregion.
The report identifies several challenges affecting informal traders, including limited access to credit, harassment at border posts, and a lack of awareness of trade documentation.
The GSS recommends stronger collaboration between national statistical offices, customs, and local governments to regularly track informal trade data.
It also calls for government support to modernize border markets, improve security, and provide basic infrastructure like storage facilities, weighing bridges, and rest areas for traders.
The next phase of the project, the GSS said, will focus on real-time data collection to monitor quarterly fluctuations and measure the impact of new trade policies under AfCFTA.
