The Institute of Statistical, Social and Economic Research (ISSER) yesterday, launched the State of the Ghanaian Economy Report, 2009.
The report deals with and explains how the Ghanaian economy fared in 2009 in the midst of the global economic crises and gives an outlook in 2010.
Dr.Felix Asante, Senior Research Fellow and Head, Economics Division of ISSER, presenting the overview of the Ghanaian Economy, 2009, stated that the economy of Ghana had been described as doing well for the past decade or so until the global crisis hit in 2008. Even so, Ghana’s real Gross Domestic Product (GDP) growth rate for 2008 was 7.2 percent, which happened to be the highest in many years.
Dr. Asante Indicated that, the heightening of the global economic crisis, particularly in the first half of 2009, however, resulted in Ghana’s real GDP growth falling sharply by 3.1 percentage points to 4.1 percent in 2009. The real GDP growth rate also shows a 1.2 percentage points decline below the projected rate for the year.
Dr. Asante mentioned that, though the GDP growth rate was low, inflation rates during the year were generally high, particularly in the first half of the year.
In terms of performance of the various sections of the economy, Dr. Asante pointed out that, the agricultural sector grew fastest at the rate of 6.2 percent, followed by the services sector at a decline rate of 5.9 percent and the Industry sector also at a declined rate of 1.6 percent as against 6.0,9.3 and 6.7 percent ages respectively for the various sectors.
Dr. Asante stressed that to enhance the structural transformation that an economy like Ghana so desires, there is the need for intensive investment in the productive sectors (industry and Services sectors) of the economy which will translate their growth rates into greater shares of national output.
There is also the need for the proliferation of technological investment, and trade in the world economy, he added.
The fiscal outlook for 2010, he said, seeks to support government’s medium-term objective of ensuring macro-economic stability with sustained growth through fiscal consolidation measures.
The government will undertake policies that will require an expansion of the resource envelope to finance critical investments in support of the growth agenda. Dr. Asante said.
Source: ISD (Darling Cann & Priscilla Aidoo)