World Bank Lowers Ghana’s GDP Growth to 3.9%, Economic Stability, and Revenue Growth, according to Professor John Gatsi.
Varying economic projections are normal in economic management as they reflect the prevailing conditions during the fiscal under consideration.
Stable economic growth plays a significant role in revenue generation, with economic stability being vital for driving revenue growth.
Economic forecasts are always susceptible to variations depending on the economic environment.
The World Bank’s recent forecast reduction from 4% to a marginal of 3.9%was arrived at after considering the possible effects of mainly global dynamics relating to trade and tariffs.
This is no significant concern as, over the decades, the Ghanaian economy outperformed such projections for the country and Sub-Saharan African economies.
With a focus on building economic stability, resilience, fiscal responsibility, fair tax administration, and productive debt management,t, as well as deeper accountability frameworks such as contract database management, Ghana stands to grow within range.
By the end of the year, given the dynamics of the global and domestic economic environment, growth and other economic variables may be upgraded or further downgraded.
Economic stability creates a predictable environment for economic activities, thereby enhancing revenue mobilization. Economic stability defines a better environment for investment in social programs and economic infrastructure and improves reliable consumption.
This stability promotes public investment, generating purchasing power and investment opportunities that enhance revenue generation. Investing in economic stability is essential for driving revenue growth, promoting tax compliance, and effective tax administration.
