World fastest growing EconomyThe existence of democracy since 1992 has led to over 20 years of Economic stability in Ghana. The days of coup d’etat are things of the past and the adoption of a mixed economy which implies that Capitalist and Socialist are all playing prudent roles in building the nation.
Our economic outlook turned considerably bright as oil was discovered not too long ago and as oil prices rise again and the country’s oil production rapidly expands, Ghana is on track to make a remarkable claim for a country mired in poverty not long ago. It is likely to be one of the world’s fastest-growing economies this year, according to the World Bank, the African Development Bank, the International Monetary Fund and the Brookings Institution.
With a projected growth between 8.3 and 8.9 per cent in 2018, Ghana might outpace even India, with its booming tech sector, and Ethiopia, which over the last decade has been one of Africa’s fastest-growing economies thanks to its expanding agricultural production and coffee exports.
According to the I.M.F.’s projections, only Bhutan, with a minuscule economy, and Libya, whose war-ravaged economy plunged in recent years, may have a higher rate of growth this year.
An advantage to Ghana is the production of Cocoa, which is one of it’s major exported product. Edmund Poku, the managing director of Niche Cocoa, said his processing factory in Tema, an industrial suburb of the capital, Accra, already has contracts to sell all of the powder, butter and chocolate bars.
“This is the first year we’ve done that,” Mr Poku said as employees in white lab coats ducked into his office from the factory floor for the day’s marching orders. His factory embodies the goal of economists and technocrats across Africa: a local enterprise that offers hundreds of well-paid, skilled jobs and uses cutting-edge technology.Mr. Poku has doubled his factory’s capacity in the last two years and plans to hire another 100 workers this year. He predicted other business sectors would also have the opportunity to expand.
“Once people see that the economy is growing, banks and investors will be more willing to see Ghana as a good place to make investments,” he said.
While the country is on a roll now, economists and other experts have urged Ghana to avoid the so-called resource curse that has plagued other nations that rely heavily on the extraction of petroleum and minerals, as these industries are often associated with graft and corruption.
President Akufo-Addo has pledged to funnel oil revenues into education, agriculture and manufacturing to diversify the economy. In his recent State of the Nation address, he called the agriculture industry the “backbone” of his development agenda and said that factories like Mr Poku’s have been the “takeoff point for industrialization in most developed societies.” He said he also plans to expand incentives for cocoa processors, which have already begun. Cocoa sales are helping lift Ghana’s agriculture sector, which at the end of last year, recorded it’s the best quarter of growth since 2010-driven by a bumper cocoa crop.
By: Harry Ahovi