IMF Forecasts 3% Economic Growth for Ghana in 2024, Aligning with Government Projections

The International Monetary Fund (IMF) has forecasted that Ghana’s economy will expand by 3% in 2024, according to its latest World Economic Outlook Report, released during the IMF/World Bank meetings in Washington, D.C.

This figure is broadly in line with the Government of Ghana’s projection of 3.1% growth, as outlined in the 2024 Budget.

IMF Leaves Room for Growth Revision

Despite the alignment, IMF officials have suggested that the growth figure could be revised upward by year-end, as the report did not fully account for recent economic developments.

“We are optimistic that Ghana could exceed these initial projections,” a senior IMF official said, hinting at stronger-than-expected performance in the latter half of the year.

World Bank Upgrades Ghana’s Growth Forecast

The World Bank has taken a more bullish stance, revising its own forecast for Ghana’s growth in 2024 to 4%.

This comes on the back of a surge in economic activity during the last two quarters of the year.

The Africa Pulse Report, released earlier this month, initially placed Ghana’s growth at 3.1%, but recent developments prompted the upgrade.

Inflation Challenges Persist

On the inflation front, the IMF projects Ghana will close 2024 with an inflation rate of 19.5%, significantly exceeding the Bank of Ghana’s target range of 13-17%.

However, the IMF expects inflation to ease to 11.5% by the end of 2025, a sentiment echoed by the World Bank, signaling progress toward restoring price stability over the medium term.

Source:norvanreports.com