The NDC Majority in Parliament has praised the Government’s efforts for economic success stories as Ghana’s Gross International Reserve is reported to have amounted to US$10.7 billion in the month of April 2025, equivalent to 4.7 months of import cover of goods and services.
According to them, the Gross International Reserve has been programmed to hit 4.0 months of import cover at the end of 2025 according to the 2025 budget statement and economic policy, “this shows that broadly, the external sector outlook remains favorable, largely anchored on expectations of increased gold and cocoa receipts as well as inflows from remittances”.
This success often indicates that resources are being effectively managed, productivity is increasing, and the population is benefiting from economic opportunities, a key goal for governments aiming to improve the well-being of Ghanaians and to also ensure long-term stability and development.
Dr. Eric Afful, the Chairman of the Economy and Development Committee in a statement on the highlights of the positive trend of the economy of Ghana on Monday, 14th July, 2025,
Submitted that the cedi has rebounded strongly against the major trading currencies driven by a combination of factors, including the tight monetary policy stance, ongoing fiscal consolidation, record reserve accumulation, strict enforcement of foreign exchange rules, and improved market sentiments.
Dr. Afful said, in the year of May 21, 2025 the cedi had appreciated against all major currencies; “the Ghana cedi appreciated by 24.1% against the US Dollar, 16.2% against the British Pound and 14.1% against the Euro”.
According to him, the Monetary Policy Rate (MPC) report by the BoG still holds the monetary Policy Rate (MPC) at 28% and that, “Ghanaian economy continues to show more strives locally and internationally, the economy is growing rapidly and has seen an advantage internationally”.
Below is the full statement:
STATEMENT ON THE HIGHLIGHTS OF THE POSITIVE TREND OF THE ECONOMY OF GHANA BY HON. DR. ERIC AFFUL – CHAIRMAN OF THE ECONOMY AND DEVELOPMENT COMMITTEE.
The Right Hon. Speaker, thank you so much let me take this opportunity to make this statement to highlight the positive trend of Ghana’s Economy to educate and encourage ourselves as Ghanaians in decision making as households, businessmen and even as governments which has signed social contract with his people.
Mr. Speaker, governance is about seeking the welfare of the people, especially about their respective standards of living in the country. This is measured by the amount of goods and services available for their consumption as well as its affordability, by adopting a mechanism used to allocate or distribute the goods and services among the citizenry in a country.
Right Hon. Speaker, the effectiveness and efficient mechanism designed to allocate the said resources are measured by certain economic and financial indices, data and statistics in a country. Mr. Speaker some of these include, the Gross Domestic Product (GDP) of a country, the rate of inflation which measures the general price levels of goods and services in a country over a period of time. The Gross International Reserves of a country, the Balance Of Payment (BOP), the Primary Fiscal Balance of Trade, the National debt level of a country and its associated National debt to GDP ratio.
Mr. Speaker the consumer price index (CPI) of a country is also a good measure to this effect.
The Central Bank Monetary Policy and Interest Rate also count a lot, Mr. Speaker, above all is the strength of the cedi in relation to the hard currencies in the world such as USA Dollar, the UK Pounds Sterling, the Euro in the European Countries and other currencies in the world. Right Hon. Speaker, the Data and statistics available according to the Monetary Policy Committee 124th Report of BoG and figures from the statistical service indicated that the Economy of Ghana is striving on a growth path which will eventually lead to a sustainable growth and development in the country.
Mr. Speaker, inflation which was taken in January 2025 at 23.4% now stands at 18.3% as at May 2025 which has been programmed to hit at mid-teens by the middle of the year. According to the report on the domestic front, the Banks high frequency real sector indicators point to a sustained pick-up in economic activity, the updated composite index of economic activity increased by 2.3% on year in March 2025 compared to 1.0% over the same period last year 2024. In addition, Mr. Speaker, the purchasing manager’s index rose above the 50-bench mark as output and now orders increased signaling improved growth and prospect.
According to the BoG Monetary Policy Committee 124th Report indicates that, based on the inflationary pressures and options above the Macro- economic conditions, the latest Confidence Surveys showed significant improvements in business and consumer indices, the highest in the last seven years.
Mr. Speaker, the headline inflation has declined consecutively within the year according to the BoG by 2.6% percentage point to 21.2% in April 2025 and 18.3% in May 2025, Mr. Speaker this has resulted in the reduction of the prices of goods and services in the country. The primary fiscal balance (on committee basis) has also improved significantly in the first quarter of 2025. Mr. Speaker according the reports, at the end of March 2025, the stock of public debt stood at GH₵ 769.4 b, representing 55% of GDP compared with GH₵ 726.7 b, also representing 61.8% of GDP at the end of December 2024.
Right Hon. Speaker, according to the BoG’s current report, the external sector has continued to improve. Mr. Speaker the provisional current accounts earned a surplus of 2.1 billion US $ at the end of the first quarter of 2025, mainly driven by the higher prices and production volumes of Gold and Cocoa and strong remittance inflows. Speaker, the overall balance of payment registered is a surplus of 1.1 billion US $ in the first quarter of 2025 with a significant reserve accumulation.
Mr. Speaker, the strong external performance resulted in a significant reserve accumulation according to the report.
The Gross International Reserve amounted to $ 10.7 billion dollars in April 2025, equivalent to 4.7 months of import cover of goods and services. Mr. Speaker, the Gross International Reserve has been programmed to hit 4.0 months of import cover at the end of 2025 according to the 2025 budget statement and economic policy, this shows that broadly, the external sector outlook remains favorable, largely anchored on expectations of increased gold and cocoa receipts as well as inflows from remittances.
Right Hon. Speaker, according to the report, the cedi has rebounded strongly against the major trading currencies driven by a combination of factors, including the tight monetary policy stance, on-going fiscal consolidation, record reserve accumulation, strict enforcement of foreign exchange rules and improved market sentiments. Mr. Speaker in the year of May 21, 2025 the cedi had appreciated against all major currencies, Mr. Speaker the Ghana cedi appreciated by 24.1% against the US Dollar, 16.2% against the British Pound and 14.1% against the Euro. Mr. Speaker, the monetary Policy Rate (MPC) report by the BoG still holds the monetary Policy Rate (MPC) at 28%.
Mr. Speaker, Ghanaian economy continues to show more strives locally and internationally, the economy is growing rapidly and has seen an advantage internationally.
Mr. Speaker, due to the current performance of the economy, the Switzerland government has awarded a grant of 77 million Dollars to support the development of a resilient and forward-looking economy of Ghana.
Switzerland has pledged its support to Ghana through economy, trade, governance, democracy, peace and security, environment and climate change as well as sustainable development. Right Hon. Speaker, I would therefore entreat all to simply support the government in achieving the targeted financial and economic indices stated in the 2025 Budget Statement and Economic Policy. Thank you, Mr. Speaker, for the opportunity.
