Ghana The Fastest Growing Economy In The World, Africa has 4 of the top 5 fastest growing economies.
Updated: Oct 23, 2019
According to the latest International Monetary Fund (IMF) report, Ghana is expected to be the fastest-growing economy, not just in Africa but in the world! Up 8.8 %. And the report also shows that Africa has 4 of the top 5 fastest growing economies in the world.
IMF predicts that Ghana’s economy will grow at 8.88 percent in 2019, a growth rate it says is the fastest in the world. IMF attributes the projections to Ghana’s improved macroeconomic performance for the last two years and the strong economic growth in 2018. Last year, Ghana’s economy grew by 5.6 percent, putting it in the sixth position.
Ghana is closely followed by its neighbor Ivory Coast with 7.5 percent, and Ethiopia with 7.7 percent. The growth rate of these two countries from 2018 to 2020 appears to be consistent, while Ghana’s growth is predicted to decline again in 2020.
Apart from Ghana and Ivory Coast, South Sudan, Rwanda, Ethiopia, and Senegal, also top the list of the fastest-growing economies in the world according to the IMF report.
On the IMF list, Angola came last on the list of African countries and the economic growth rate has been predicted to be 0.4 percent. Last year it suffered a decline of 1.7 percent. South Africa’s growth rate has been projected to be only 1.2 percent, an increase of 0.4 percent from that of 2018.
Resource-rich Nigeria will have a growth rate of 2.1 percent according to the report.
Innovation’ is viewed as the key driver of economic growth. Economists say the development and use of innovations enable firms to increase their productivity, which in turn leads to higher Gross Domestic Product (GDP). Ghana is keen to boost technological innovations and get more young people involved in sustaining and improving the country’s economic performance.
Innovation is especially key for low-income countries. It has been debated before that without innovation, low-income states will not move away from low-productivity.
Ghana has experienced significant economic growth and is now categorized as a low-middle-income country but until recently it was ranked a low-income country.