Ghana has revised its 2020 economic growth forecast upward to 2.5 percent from the previous 0.9 percent projected in July, the Governor of Bank of Ghana Ernest Addison has said.
The new projection marks the third time the country has revised its growth forecast since the outbreak of COVID-19 in March, with expectations for higher growth out-turns in the third and fourth quarters.
Addison said here on Monday that the new forecast was due to sustained levels of consumer and business confidence as well as broad-based growth in the indicators of the central bank’s Composite Index of Economic Activities.
“Due to this positive outlook, it is estimated that growth in 2020 will be between 2.0 and 2.5 percent,” the governor said.
He added that spending by the government had also been a source of considerable stimulus, “driven by exceptional expenditures directed toward goods and services, capital expenditure, COVID-related spending, and in the energy sector.”
Ghana’s annual economic growth fell to -3.2 percent in the second quarter as the outbreak of COVID-19 impacted economic activities negatively. The year-on-year inflation rate fell to 10.5 percent in August, compared with 11.4 percent in July. Enditem