Ghana's unadjusted Q1 GDP growth jumps to 4.1 % y/y - CNBC Africa

Ghana's unadjusted Q1 GDP growth jumps to 4.1 % y/y

Western Africa

by Reuters 0

Ghana's agriculture sector, helped by livestock, recorded the highest growth rate at 7.4 per cent year-on-year. PHOTOS: absorbine

Ghana's unadjusted economic growth rate rose sharply to 4.1 per cent year-on-year in the first quarter of 2015 compared with a revised figure of -3.8 per cent in the same period last year, the statistics office said on Wednesday.

(READ MORE: Ghana’s fiscal problems threaten economic growth: IMF)

The agriculture sector, helped by livestock, recorded the highest growth rate at 7.4 per cent year-on-year. The industry sector contracted by 0.9 per cent and services, especially data usage for cell phones, grew at 4.7 per cent, government statistician Philomena Nyarko told a news conference.

"Most industries have put in place measures this time around to ease the impact of the power crisis facing the country," Nyarko said, adding that the impact of blackouts on the economy was more severe in 2014 than this year.

The government forecasts 2015 GDP growth of 3.9 per cent, lower than the average for sub-Saharan Africa, after years in which the country was among the continent's fastest growing economies due to its exports of gold, oil and cocoa.

(READ MORE: Ghana says close to deal with IMF on financial assistance programme)

The International Monetary Fund has extended a package worth nearly one billion US dollars to restore fiscal stability to the West African country, which faces a steep debt-to-GDP ratio and a currency that has fallen sharply since the start of 2014.

Ghana's annual producer price inflation eased to 19.0 per cent year-on-year in May from a revised figure of 19.5 per cent the month before, the statistics office said.

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