Ghana’s informal cross-border trade with its neighbouring countries was valued at GH¢7.4 billion in the fourth quarter of 2024.
According to the Ghana Statistical Service (GSS), this represents 4.3 percent of the country’s total trade for the period.
The findings, released by the GSS, are from the first national Informal Cross-Border Trade (ICBT) Survey, which measured economic activity that takes place outside formal customs systems.
The survey covered 321 active border points across ten regions between October and December 2024, gathering data through direct observation and interviews with traders.
Per the report food items dominated the informal trade space, making up 49.6% of informal imports and 41% of exports, underscoring the sector’s critical role in regional food supply and livelihoods.
Top informal exports included alcoholic drinks valued at GH¢187 million, soft drinks at GH¢170 million, petrol, and second-hand clothing.
Major imports were cooking oil (GH¢270 million), mattresses (GH¢171 million), rice (GH¢143 million), and livestock (GH¢159 million).
On a country basis, Ghana recorded a trade surplus of GH¢576 million with Burkina Faso and GH¢378 million with Côte d’Ivoire, but a deficit of GH¢539 million with Togo.
Informal trade accounted for 61.2% of Ghana’s total trade with Togo, 55.7% with Côte d’Ivoire, and 37.1% with Burkina Faso.
Regional and gender insights
The Upper East Region emerged as the main informal trade corridor, accounting for GH¢1.27 billion in exports, fifteen times higher than the Savannah Region’s GH¢82.9 million.
The Paga border was identified as the busiest route for informal imports.
Gender analysis showed that 65.7% of exporters were men, while 41.3% of importers were women, particularly active in the Savannah, Western, and Northern regions.
Tricycles and motorbikes remained the most common means of transport, highlighting the small-scale and frequent nature of these transactions.
Policy recommendations
The GSS emphasised that informal trade plays a vital role in connecting producers and consumers, supporting livelihoods, and ensuring food availability, especially in border communities with limited formal employment opportunities.
However, the Service also noted that informal trade poses policy challenges, including reduced tax collection, weak infrastructure, and limited trader protection.
To address these, the GSS recommended: formalising informal traders through simplified registration and microcredit access, improving border infrastructure and inspection systems, enhancing regional cooperation to harmonise customs procedures and promoting local production of key imports such as cooking oil, rice, and mattresses to improve the trade balance.
Building a data-driven policy framework
Government Statistician Dr. Alhassan Iddrisu said the new data would strengthen Ghana’s ability to craft policies that reflect the realities of the entire economy.
“By measuring informal trade systematically, we are strengthening the foundation for better economic planning,” he said.
“Informal trade is part of everyday life for many Ghanaians, and recognising its value allows us to understand its contribution to livelihoods.”
The GSS says integrating informal trade data into national accounts will help Ghana bridge the gap between formal and informal economies, enhance regional trade participation, and support evidence-based policymaking under the African Continental Free Trade Area (AfCFTA)
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