Despite the current inherent challenges of Ghana’s economy, Minister of Finance, Dr. Mohammed Amin Adam Anta believes the economy currently has higher prospects than even before the pre-COVID-19 era.
Dr. Amin Adam is of the firm opinion that the country has fully recovered from the pandemic adding that the rebound is even better and stronger than before the Covid-19 era when the gains made were derailed.
The Minister made this claim when he was speaking at the 2nd Quarterly Economic Roundtable organized by a collaboration between the Institute of Statistical Social and Economic Research (ISSER) at the University of Ghana and the Ministry of Finance.
In justification of this claim, the Minister argued that the current growth trajectory which measures the rate of economic expansion is at a faster pace higher than before the Covid era. This current rate of growth, the minister believes is higher than anticipated forcing analysts to review upward their projections on the economy.
“Economic growth for 2024 is exceeding every expectation. Our growth trajectory has therefore prompted major analysts and keen observers to revise their projections upwards for this year. The fact is that the half-year growth of 5.8% recorded for this year is the highest in the last five years. It is fascinating to note the growth of 4.8% in Quarter 1 and 6.1% in Quarter 2 was driven largely by industry and agricultural sectors. Particularly manufacturing, coming from a -2% to positive growth in the first quarter and in the second quarter by 3.9%,” Dr. Amin Anta indicated.
He continued, “that’s very significant. This is why some of us believe we are back on track. Our first half year economic growth, real GDP Growth of 5.8% is more than our first half year growth in 2019 by 0.4 percentage points.”
The Minister stated that if the trajectory continues, the end-year growth of Ghana in 2024 will be much higher than what the country recorded before the COVID-19 pandemic in 2019 and 2020.
“What it means is that we are growing at the pre-Covid growth trajectory. Our growth before COVID which set our economy back, we are now growing beyond that. If the trajectory continues, I believe our economy’s end-year growth will be more than the end-year growth of 2019 or even 2020. The economy is back and it is back stronger,” he said.
Despite the touted strong economic rebound, it is worthy of note that the economy is currently experiencing high unemployment levels coupled with relatively high inflation levels and exchange rate volatilities causing ever-increasing prices of goods and services.
These challenges, which negatively affect the standard and conditions of living for Ghanaians are a clear indication that the touted growth is not reflected in the lives of the citizens.It is therefore imperative for the government to implement policies that will ensure that the growth and expansion of the economy are reflected in the living standards of Ghanaians.
