Economist and Dean of the University of Cape Coast Business School, Professor John Gatsi, says there is no cause for alarm after the World Bank’s downward revision of Ghana’s economic growth projection for the 2025 fiscal year.
The economist says Ghanaians, policymakers, and the public should not be fixated on marginal fluctuations in economic growth projections but rather focus on building long-term economic stability, which is the true engine for national revenue growth.
His remarks come in the wake of the World Bank’s recent downward revision of Ghana’s 2025 GDP growth forecast from 4.0% to 3.9%.
The downward revision, although marginal, has stirred public discourse about the health of the Ghanaian economy. But Prof. Gatsi is allaying such fears, explaining that such downward projections are normal in economic management, often shaped by dynamic global factors, especially trade and tariff conditions.
“Varying economic projections are normal in economic management as it reflects the prevailing conditions during the fiscal year under consideration,” he noted in a post cited by The High Street Journal.
Economic stability, he says, provides a predictable environment that enhances investment confidence, effective tax administration, and reliable consumption patterns, all of which are crucial for boosting revenue.
The focus, the economist says, should be attaining stability. He noted that stable economies are better positioned to invest in infrastructure, social protection programs, and productive sectors that, in turn, generate growth and jobs.
Prof. Gatsi further expressed his optimism that Ghana has a track record of outperforming economic forecasts in some instances, arguing that projections should not be treated as final but rather as indicators conditioned by both domestic and global realities.
He maintained that fiscal responsibility, fair tax systems, prudent debt management, and transparent contract governance frameworks like contract databases are key pillars of stability that should be prioritized.
“This is no significant concern as over the decades, the Ghanaian economy outperformed such projections for the country and Sub-Saharan African economies. With a focus on building economic stability, resilience, fiscal responsibility, fair tax administration, and productive debt management, as well as deeper accountability frameworks such as contract database management, Ghana stands to grow within range,” he noted.
He added: “By the end of the year, given the dynamics of the global and domestic economic environment, growth and other economic variables may be upgraded or further downgraded.”
Prof. Gatsi’s call comes at a time when many economists and policymakers are urging a shift from short-term economic scorecards to long-term reforms that deepen Ghana’s fiscal and structural resilience.
