Macro-economic Context 2023 Pre-Budget Survey Report
Snapshot of key findings
1. Economic Factors: Most business leaders indicated that economic factors such as inflation, cedi depreciation, slow GDP growth rate, and rising interest rates have had a significant impact on their operations. 2. On IMF Programme: Industry leaders are confident that the IMF program will help restore macroeconomic stability. Some respondents suggested that the program should emphasise debt sustainability while also promoting inclusive and long-term growth. 3. On Illegal Mining: 52.9% of the respondents affirmed that illegal mining has affected their business activities. Among those affected by ‘galamsey’, water supply was deemed as the main area impacted by the activities of illegal mining.
2023 Pre Budget Survey Report
The Ghanaian economy continues to respond to the impacts
and shocks from COVID-19, amidst geopolitical instability,
heightened macroeconomic pressures, and a looming global
recession, which have all threatened the consistent gains made
by the government towards achieving its SDG 2030 Agenda.
and shocks from COVID-19, amidst geopolitical instability,
heightened macroeconomic pressures, and a looming global
recession, which have all threatened the consistent gains made
by the government towards achieving its SDG 2030 Agenda.
Ghana’s economy had experienced a rebound in 2021
following the adverse impact of the COVID-19 pandemic. The
expectations at the beginning of 2022 was that the economy
would consolidate the gains made in 2021, albeit the medium
following the adverse impact of the COVID-19 pandemic. The
expectations at the beginning of 2022 was that the economy
would consolidate the gains made in 2021, albeit the medium
term impact of the pandemic was still expected to be felt. As a
corollary to this, the Ministry of Finance (MoF) had targeted a
5.8% growth in real GDP for 2022, representing a 0.4%
increment in actual growth in 2021.
corollary to this, the Ministry of Finance (MoF) had targeted a
5.8% growth in real GDP for 2022, representing a 0.4%
increment in actual growth in 2021.
Provisional estimates from the Ghana Statistical Service
revealed that the real GDP growth in the second quarter of
2022 was 4.8% as compared to 4.2% same period 2021. In the
mid-year review report, the MoF disclosed that real GDP
growth in 2022 is expected to contract to 3.7%. Rising energy
prices and other externalities including Russian-Ukraine war
have altered the growth pattern of the global economy in 2022.
From an original prediction of 4.4%, the IMF has revised
growth in global economy to 3.2%. The strong performance of
the US currency has also resulted in depreciation of the local
currency. While concern over the growing levels of public debt
lingers, the inflation rate has been on an upward trajectory.
These occurrences have heightened uncertainty in the
Ghanaian business environment.
revealed that the real GDP growth in the second quarter of
2022 was 4.8% as compared to 4.2% same period 2021. In the
mid-year review report, the MoF disclosed that real GDP
growth in 2022 is expected to contract to 3.7%. Rising energy
prices and other externalities including Russian-Ukraine war
have altered the growth pattern of the global economy in 2022.
From an original prediction of 4.4%, the IMF has revised
growth in global economy to 3.2%. The strong performance of
the US currency has also resulted in depreciation of the local
currency. While concern over the growing levels of public debt
lingers, the inflation rate has been on an upward trajectory.
These occurrences have heightened uncertainty in the
Ghanaian business environment.
