Ghana Economic Outlook Positive

Ghana’s macroeconomic performance improved in 2017 after a difficult 2016. The country’s economy expanded for the fifth successive quarter in September 2017; at a rate almost double that of 2016, according to a World Bank report released Tuesday, AllAfrica reported. The 3rd edition of the Ghana Economic Update, which focuses on agriculture as the engine of growth and jobs creation, notes that the service sector bounced back, and the fiscal consolidation is paying off. The inflation rate is also down to close of 10%. “The macroeconomic outlook was largely positive based on the 2017 performance. GDP growth for 2017 is estimated to have almost doubled from the 3.7% in 2016, and is expected to stay at that elevated level through 2018,” said Henry Kerali, World Bank country director for Ghana. The external position has improved as the trade balance has shifted to a surplus. Ghana has made good progress in macro-stabilization in 2017, but it needs to sustain the fiscal consolidation efforts. According to the report, inflation is likely to fall within or be close to the Bank of Ghana’s medium-term target range of 6-10% in 2018.