Ghana’s 5.5% GDP Growth Forecast for 2024 by BMI Fitch Solution: Was it Optimism or Miscalculation?

Fitch Solutions' forecast of 5.5% growth for Ghana's economy in 2024, driven by election-related public spending, faces skepticism due to potential fiscal imbalances and inflationary risks.

Historical trends show election spending offers only temporary boosts without long-term growth.

The reliance on volatile oil production and rising inflation challenges the projected increase in consumer spending.

Ghana's high debt levels and structural issues further undermine the sustainability of this forecast.

The analysis overlooks key risks like political unrest, inflationary pressures, and dependency on oil, raising concerns about the accuracy of the optimistic outlook.