World Bank raises Ghana’s 2025 growth forecast to 4.3%

The World Bank has upgraded Ghana’s 2025 economic growth projection to 4.3%, up from its earlier estimate of 3.9%, reflecting renewed optimism about the country’s post-crisis recovery.

The revised outlook was contained in the October 2025 edition of Africa’s Pulse Report released by the Bank in Washington, D.C. The new figure, though slightly below the government’s 2025 growth target of 4.4%, signals steady progress in stabilizing the economy.

According to the report, Ghana’s economy expanded by 6.3% in the second quarter of 2025, driven largely by the services sector, which recorded a 9.9% growth and contributed the most to GDP. The World Bank projects growth to strengthen further to 4.6% in 2026 and 4.8% in 2027, underscoring a positive medium-term outlook.

Across Sub-Saharan Africa, the region’s economy is expected to expand by 3.8% in 2025, up from 3.5% in 2024, buoyed by easing inflationary pressures and a modest recovery in investment.

“The number of African countries with double-digit inflation has dropped sharply, from 23 in October 2022 to 10 in July 2025, reflecting progress in price stabilization,” the report noted.

However, the World Bank cautioned that downside risks persist, including trade policy uncertainty, weak investor confidence, and limited access to external finance.

It expects Ghana’s inflation to close 2025 at 15.4%, a figure that contrasts with the official September 2025 rate of 9.4%, down sharply from 21.5% a year earlier.

The Bank described its outlook as conservative, though it acknowledged that “inflation is expected to continue easing, dropping to 9.4% in 2026.”

The Bank of Ghana, in its recent Monetary Policy Report, reaffirmed confidence that inflation will remain within the single-digit range by year-end, supported by ongoing fiscal discipline and policy tightening.

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