Fitch Solutions revises Ghana's 2024 GDP growth to 4.3%, predicts further expansion in 2025

Ghanaian

Fitch Solutions has upgraded Ghana’s real GDP growth forecast for 2024 to 4.3%, up from the previous estimate of 3.8%.

The London-based firm also projects a 4.5% growth in 2025. This revision is attributed to stronger-than-expected economic activities anticipated in the next two quarters of 2024.

Despite Q1 2024 inflation averaging 24.2%, a downward trend to 19.5% by year-end

Read full articleis expected, facilitated by statistical base effects. The combination of slowing inflation and increased government spending ahead of the December elections is expected to bolster consumer activity and domestic demand.

Fitch Solutions also foresees a recovery in fixed investment for 2024. While interest rates remain high due to the Bank of Ghana’s hiking cycle since mid-2021, improved business confidence is expected to enhance corporate investment.