Ghana's economy expands 6.0% in second quarter of 2026

Ghana recorded a real Gross Domestic Product (GDP) growth of 6.0% year-on-year for the second quarter of 2026. According to the Bank of Ghana’s September 2026 report, while the growth remains firm, it represents a slight deceleration compared to the 6.6% expansion recorded during the same period in 2025. The data highlights a recovering economy supported by robust performance in the services sector and a rebound in industrial activity, though structural challenges in agriculture persist.

The Services sector remains the primary engine of growth, expanding by 8.0% during the quarter. This performance was largely driven by gains in trade, finance, transport, and telecommunications. Meanwhile, the Industry sector showed signs of recovery, growing at 4.3% compared to the 2.4% recorded last year. However, the Agriculture sector experienced a significant slowdown, with its growth rate dropping to 3.9% from 7.1% in the previous year. This deceleration has prompted concerns among policymakers regarding the impact on farming communities and the need for more inclusive growth across all sectors.

Supporting this growth is a stabilizing macroeconomic environment characterized by lower inflation and reduced interest rates. Headline inflation stood at 5.2%, while the Bank of Ghana maintained its Monetary Policy Rate at 14%, a substantial reduction from the 25% seen in July 2025. This easing of monetary policy has helped push average bank lending rates down to 15.9%, facilitating an expansion in private-sector credit. Furthermore, the country recorded a significant trade surplus of approximately US$8.8 billion, bolstered by strong gold exports, and the Ghana Stock Exchange (GSE) Composite Index surged by 105.7% year-on-year.

Despite these positive indicators, the economy faces ongoing risks. Significant depreciation of the cedi against major international currencies remains a primary concern for price stability. While non-performing loans (NPLs) decreased to 15.7%, bank profit margins have been squeezed by lower interest rates, falling by 5.7%. Moving forward, the Bank of Ghana emphasizes that maintaining fiscal discipline—evidenced by a 0.2% GDP deficit that outperformed the 1.9% target—will be critical to sustaining macroeconomic stability and mitigating the impact of commodity price fluctuations on the national outlook.