Ghana's economy grew by 6.9% in the second quarter of 2024, according to provisional figures from the Ghana Statistical Service (GSS).

This marks a significant increase compared to the 4.7% growth recorded in the first quarter of the year.

The Services sector remained the largest driver of growth, contributing 44.2% to the economy in the second quarter.

The Industry sector followed, accounting for 32.2% of the economic expansion, while the Agriculture sector contributed 23.6%.

Meanwhile, the year-on-year inflation rate for goods and services at ex-factory prices surged to 33.2% in August 2024, up from 29.1% in July.

However, the month-on-month producer inflation rate was recorded at 2.7%.

The producer price inflation (PPI) in Ghana’s Industry sector, excluding construction, saw a sharp increase from 37.9% in July to 44.2% in August.

In contrast, inflation in the construction sector dropped slightly to 27.7%.

Meanwhile, inflation in the services sector rose from 12.6% in July to 14.0% in August, reflecting rising costs in various service-based industries.

Mining and Quarrying Surge, Water Supply Rates Lowest

The Mining and Quarrying sub-sector saw inflation soar, with a 54.2% rate, well above the national average of 33.2%.

However, the Water Supply, Sewerage, and Waste Management sector recorded the lowest inflation at just 3.2%.

Within the Mining and Quarrying sub-sector, the extraction of crude oil and natural gas saw inflation decline to 33.4% in August, down by 10.6 percentage points from the 44.0% recorded in July.

On the other hand, the mining of metal ores experienced a sharp rise in inflation, jumping to 71.7% in August from 54.2% the previous month. Mining support services reported an inflation rate of 42.9%.

Manufacturing Sector Sees Mixed Trends

In the manufacturing sub-sector, inflation varied across the 23 major industry groups.

The sector’s average inflation rate stood at 22.9% in August, with the manufacture of basic metals leading the rise, recording the highest rate at 51.9%.

The manufacture of beverages followed closely with an inflation rate of 41.3%.

Water Supply and Waste Management Sector

Inflation in water collection, treatment, and supply reached 4.8% in August 2024, the highest within the Water Supply, Sewerage, and Waste Management sub-sector.

Waste collection, treatment, and disposal activities recorded an inflation rate of 1.6%, marking an increase of 1.2 percentage points from July’s 0.4%.