Fiscal Consolidation to Accelerate Growth and Support Inclusive Development : Ghana Public Expenditure Review
Ghana has experienced an extended period of robust growth since the early 2000s, supported by a favorable external environment and large investment inflows, particularly in the extractive industries. In 2011, as the start of oil production drove a...
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| Format: | Report |
| Language: | English en_US |
| Published: |
Washington, DC
2017
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| Online Access: | http://documents.worldbank.org/curated/en/972961498157963462/Fiscal-consolidation-to-accelerate-growth-and-support-inclusive-development-Ghana-public-expenditure-review http://hdl.handle.net/10986/27558 |
| Summary: | Ghana has experienced an extended period
of robust growth since the early 2000s, supported by a
favorable external environment and large investment inflows,
particularly in the extractive industries. In 2011, as the
start of oil production drove a surge in per capita income,
Ghana graduated from low-income to lower-middle-income
status. Despite the key role of the extractive industries,
recent growth has been relatively inclusive, and Ghana
achieved its Millennium Development Goal of halving the
poverty rate by 2015. However, macroeconomic conditions have
deteriorated since 2012, giving rise to substantial domestic
and external imbalances. Although external shocks have
underscored Ghana's vulnerability to global commodity
and financial markets, the recurring nature of its
imbalances reflects deeper structural deficiencies in its
macroeconomic policies and public financial management (PFM)
framework. A heavy focus on commodity exports has
accelerated Ghana's recent growth, but the
country's economic outlook increasingly hinges on a
narrow range of volatile commodity prices. |
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