Skip to main content

Ghana's economy contracts in Q2

 


Ghana’s economy grew by -3.4% Gross Domestic Product (GDP) growth rate in the second quarter of this year, the first time it has contracted since 1983.

According to figures released by the Ghana Statistical Service, the heavy fall was largely attributed to some restrictions on activities in the economy, which virtually came to a standstill during the partial lockdown period, as a result of the Coronavirus outbreak.

With oil, the economy recorded -3.2% GDP growth rate in quarter two.

Addressing Journalists, Government Statistician, Professor Samuel Kobina Annim explained that the agriculture sector was the only one that recorded a positive growth rate for the period.

The agric sector recorded the highest growth rate of 2.5 percent between April and June 2020.

Read also: Food prices push inflation up to 11.4% in July 2020

Industry and services sectors however grew by -5.7% and -2.6% respectively for 2020 Quarter Two.

The Livestock sub-sector recorded the highest year-on-year growth rate of 5.7% in the agric sector. Once again, the Forestry and logging sub-sector recorded the lowest GDP, with a contraction (-8.4%).

For industry, the Electricity sub-sector recorded the highest year-on-year quarterly GDP growth rate of 16.0% for 2020 Q2, while the Manufacturing sub-sector recorded the lowest, with a contraction (-14.3%). 

With regard to services, the Information & Communication sub-sector recorded the highest year-on-year quarterly GDP growth rate of 74.2% while the Hotels & Restaurants sub-sector recorded the lowest growth of –79.4%.

The quarter-on-quarter seasonally adjusted GDP growth rate for the 2020 Q2 was however -0.8%. This means that the value of goods and services produced in 2020 Q2 contracted by 0.8% over the value recorded in 2020 Q1.

The 2020Q2 GDP at current prices was estimated at GH₵85,758.1 million compared to GH₵84,312.0 million for 2019Q2.

Quarter one GDP

The economy grew by 4.9% in the first quarter of this year, at a time, the coronavirus pandemic has reached an alarming rate in Europe, Asia and the United State of America.

According to the GSS, the services sector recorded the highest growth rate of 9.5% followed by the agriculture sector, which expanded by 2.8% and the industry sector by 1.5%.

The main sub-sectors driving GDP growth in January to March 2020 GDP were information & communication, manufacturing, education and public administration & defence, social security.

Source: Myjoyonline

Comments

Popular posts from this blog

MTN Ghana & MTN MoMo CEOs win laurels at Ghana CEO Awards

  The Chief Executive Officer of MTN Ghana, Selorm Adadevoh ,   has been adjudged  CEO of the Year  –  Telecom  at the  2 nd  edition of the  Ghana CEO  Vision  and  Awards   held  in Accra. At the same event, the CEO of Mobile Money Limited (MTN MoMo), Shaibu Haruna was also adjudged CEO of the Year – FinTech Service Provider. Selorm  Adadevoh’s award  is in recognition  of  his   achievements   in the areas of   sustainability, leadership excellence, innovation and others  in the telecoms space  which  has contributed to  job creation to support the  growth of Ghana’s economy. Patrick Afari (r), General Manager, Supply Chain Management and General Services receiving CEO of the Year – Telecom Award on behalf of Selorm Adadevoh Receiving the award on behalf of Selorm, Patrick Afari, General Manager, Supply Chain Management and General Services ,  expressed appreciation to the organizers for the award. He  noted that  th e  award will go a long way to inspire MTN to do more for Ghanaian

EB-ACCION DISBURSES US$15 MILLION

By Fred SARPONG Ecobank-Accion (EB-Accion), a partnership between Ecobank Ghana Limited and Accion International has disbursed amount to the tune of $15 million to over 36,000 borrowers in Micro, Small and Medium Enterprises (MSMEs) sector in the country, since the institution was set up barely six months ago. Frances Adu-Mantey, the Managing Director of EB-Accion disclosed this to Business Week in Accra last week during the official opening of Accion Hub headquarters in Africa. The institution’s current portfolio stands at GH¢4 million. She stated that currently, EB-Accion have over 6100 customers who save with them throughout the four branches of the institution. According to her, in order to improve the services of the institution, Ecobank Share Services center will facilitate the technology aspect of the bank by networking all the branches of EB-Accion. Maria Otero, President and Chief Executive Officer of Accion International said that the center’s staff in Accra will provide supp

Amantin & Kasei Community Bank posts impressive growth, with over GH¢1m profit

 Amantin and Kasei Community Bank, at Amantin in the Bono East Region has posted impressive growth in all the performance indicators during 2022 financial year under review. The bank recorded profit after tax of GH¢1,055,662, representing 35.66% more over the 2021 figure of GH¢778.151. This achievement stemmed out of 49.24% gross income growth from GH¢8,143,526 to GH¢12,153,537. Total deposits of the bank went up by 36.20%, changing from GH¢50,959,848 in 2021 to GH¢69,405,591 in 2022. The bank increased loans and advances by 22.15% from GH¢14,128,017 to GH¢17,257,614. Total assets showed an appreciation of 29.32%, amounting to GH¢77,918,288 as against GH¢60,250,693 in the previous year. On the other hand, the bank posted a marginal increase in short term investments portfolio from GH¢24,439,761 to GH¢26,585,698, indicating 8.78% change. The Chairman of Board of Directors, Amantin and Kasei Community Bank, Dr. John Oduro-Boateng, disclosed this during the 18th annual general meeting of