Ghana’s GDP is projected to grow by 5.4% in 2025, driven by a recovering mining sector, particularly gold. The economy demonstrated resilience with a 5.8% growth in 2024 following challenges in manufacturing and real estate. Structural issues remain a concern for sustainable growth.
Ghana’s economy is forecasted to continue its growth trajectory into 2025, with a Gross Domestic Product (GDP) increase projected at 5.4% year-on-year. This optimistic outlook was presented by Jibran Qureishi, Head of Africa Research at Standard Bank Group, during the latest Stanbic Economic Series webinar, themed “The Economy under a New Era.” He underscored key growth drivers and highlighted structural risks that could affect the economic landscape.
The resilience of Ghana’s economy became evident with a GDP growth of 5.8% recorded in 2024, a marked increase from 2.9% in 2023. Mr. Qureishi remarked, “This is the fastest rate of economic growth since 2021, and we anticipate this momentum will continue, with projected growth of 5.4% in 2025 and 5.7% in 2026.”
The mining sector, particularly gold production, remains central to this economic resurgence. He stated, “There has been a notable pickup in mining activities across the country, with gold leading the charge.” The revival of underperforming mines, such as Obuasi, along with plans for a major lithium facility expected to launch in 2026 or 2027, further supports future growth.
In contrast, non-mining sectors, including manufacturing and real estate, continue to encounter challenges. Mr. Qureishi noted, “While mining is flourishing, sectors such as manufacturing and real estate continue to face persistent headwinds.” Agricultural productivity has also suffered due to last year’s drought in Northern Ghana, posing additional hurdles.
Despite these challenges, Mr. Qureishi expressed cautious optimism, stating, “The revival of key mining operations and the potential for stronger-than-expected growth in 2026 highlight the resilience of Ghana’s economy.” However, he warned that structural weaknesses, such as energy sector arrears and fiscal imbalances, must be addressed to ensure sustained growth.
In conclusion, Ghana’s economy is set to experience a significant recovery, with projected GDP growth rates of 5.4% in 2025 following a strong performance in 2024. Key drivers of this growth include an invigorated mining sector, particularly in gold production. However, persistent challenges in other sectors and structural issues must be adequately addressed to maintain stability and foster continued economic progress.
Original Source: africa.businessinsider.com
