Ghana’s economy faces mixed performance in first quarter of 2023
The latest data released by the Ghana Statistical Service (GSS) reveals a mixed performance for the country’s economy in the first quarter of 2023.
While certain sectors experienced contraction, the services sector emerged as the driving force behind economic growth.
According to the report, seven sub-sectors witnessed a decline in performance. The Water Supply, Sewerage, Waste Management & Remediation Activities sector contracted by 6.4%, followed closely by Construction at 6.0%.
Wholesale and retail trade, including the repair of motor vehicles and motorcycles, experienced a decline of 5.3%.
The Fishing industry faced a contraction of 3.3%, while Mining and Quarrying and Manufacturing reported contractions of 2.9% and 2.5%, respectively. The Hotels and Restaurants sub-sector also recorded a slight decline of 0.2%.
In contrast, the Services sector displayed resilience, with nine sub-sectors experiencing expansion. Public Administration, Defense & Social Security led the growth with an impressive 37.6% increase, followed by Health & Social Work at 31.6%, Education at 26.0%, and Information & Communication at 18.9%. However, Trade, Repair of Vehicle and Household Goods saw a contraction of 5.3%, and the Hotel & Restaurants sub-sector contracted by 0.2%.
Within the Agriculture sector, positive growth rates were observed in Livestock at 6.6%, Crops and Cocoa at 5.2%, and Forestry & Logging at 1.5%. However, Fishing experienced a decline of 3.3%.
The Industry sector, apart from the Electricity sub-sector with a growth rate of 3.5%, faced contractions across the board.
Despite the varied performances across sectors, the Services sector maintained its position as the largest contributor to Ghana’s economy, accounting for 47% of the GDP in the first quarter of 2023. The Industry sector followed at 32%, while Agriculture constituted 21% of the overall economy.
Source: Ghana Business
