Ghana’s GDP Growth Projected at 5.4% by 2025 Amid Mining Sector Resurgence
Ghana’s GDP is projected to grow by 5.4% in 2025, driven by the mining sector, particularly gold production. Despite a strong economic recovery reflected in a 5.8% growth in 2024, challenges in non-mining sectors like manufacturing and agriculture remain. Structural weaknesses need addressing to sustain this growth trajectory.
Ghana’s economy is set to expand by 5.4% in 2025, according to Jibran Qureishi, Head of Africa Research at Standard Bank Group. This growth, bolstered primarily by the mining sector, particularly gold production, reflects the nation’s economic resilience. However, challenges remain in non-mining sectors, such as manufacturing and real estate, which continue to struggle with persistent obstacles.
In a recent Stanbic Economic Series webinar, themed “The Economy under a New Era,” Mr. Qureishi outlined the key factors driving growth and structural risks that could affect Ghana’s economic landscape. Notably, Ghana’s GDP growth recorded a remarkable 5.8% year-on-year in 2024, compared to 2.9% in 2023, indicating a robust rebound post-pandemic.
Mr. Qureishi highlighted the mining sector’s significant role in this economic resurgence, stating that there has been a “notable pickup in mining activities across the country, with gold leading the charge.” The revival of underperforming mines, such as Obuasi, and the upcoming establishment of a large lithium facility anticipated around 2026-2027 are expected to bolster future economic outputs.
Nevertheless, non-mining sectors are encountering ongoing difficulties. “While mining is flourishing, sectors such as manufacturing and real estate continue to face persistent headwinds,” Mr. Qureishi noted. Additionally, the agricultural sector has suffered due to last year’s drought in Northern Ghana, impeding its growth potential.
Despite the optimism surrounding Ghana’s economic prospects, Mr. Qureishi emphasized the need for structural reforms to sustain this growth. He remarked that while the revival of mining operations and promising growth forecasts for 2026 demonstrate economic resilience, concerns such as energy sector arrears and fiscal imbalances must be addressed to ensure stability in the long term.
Ghana’s projected GDP growth of 5.4% in 2025 reflects a strong recovery primarily driven by the mining sector, specifically gold production. Although the overall economic outlook is positive, significant challenges persist in non-mining sectors, which must be addressed through structural reforms. Acknowledging these realities is crucial for maintaining robust growth in the future.
Original Source: africa.businessinsider.com
