Ghana’s economy has continued to show signs of resilience in the face of the challenges posed by the Covid-19 pandemic and Russia-Ukraine war.
The country’s latest economic data, released in the March 2022 Summary of Economic and Financial Data, reveals that total exports at the end of February 2022 stood at $2.7bn, representing an increase of $300m compared to the same period the previous year. This surge was primarily driven by an uptick in gold and cocoa exports, offset by a decline in crude oil exports.
According to the data, the value of gold exports rose from $824m to $1.1bn between February 2022 and February 2023, while cocoa exports increased from $489m to $546m over the same period. However, the value of crude oil exports declined from $688m to $562m, tempering the overall export growth rate.
It is worth noting that gold is Ghana’s largest export, accounting for approximately 45% of the country’s total export revenue. As such, any significant movements in the price of gold on international markets tend to have a significant impact on the country’s export earnings. The recent uptick in the value of gold exports, therefore, represents a welcome boost to Ghana’s economy.
Furthermore, the data shows that the total value of imports at the end of February 2023 stood at $2.01bn, representing a decrease of $269m compared to the same period the previous year. This reduction can be attributed to the effects of Covid-19, which have disrupted global supply chains, leading to reduced demand for imports in Ghana.
Overall, the country’s trade surplus from its exports and imports stood at $752m at the end of February 2023, representing a significant increase of $547m compared to the same period the previous year. This development is likely to have a positive impact on the country’s current account balance, which has historically been a key indicator of economic stability.
It is worth noting that Ghana’s economy is projected to grow by 4.7% in 2022, up from an estimated 4.2% in 2021, according to a recent report by the International Monetary Fund.
Tags: Cocoacocoa and oil boosts exports to $2.7bn at end-February 2023; trade surplus hit $752mGoldOil