Economy maintains momentum with 5.5% Q3 growth

The economy expanded 5.5 percent in the third quarter of 2025, maintaining the steady momentum recorded throughout the year despite slowing from the 7 percent recorded during the comparable period 0f 2024.

Fresh data from the Ghana Statistical Service (GSS) show strong gains in agriculture and services, while persistent weakness in oil and gas weighed on industrial output.

Seasonally adjusted Gross Domestic Product (GDP) rose 1.3 percent from the previous quarter, marginally below the 1.4 percent recorded in the second quarter.

The main growth drivers were information and communication, crops, trade, transport & storage and manufacturing. Mining & quarrying, health & social work, accommodation & food services and other personal services contracted.

Government Statistician Dr. Alhassan Iddrisu said nominal GDP reached GH¢339.4billion in the quarter, compared with GH¢293.1billion a year earlier. He noted that the 15.8 percent increase reflects both higher output and price changes.

“On the real side, the economy produced GH¢50.8billion worth of goods and services in quarter three of 2025 compared to GH¢48.2billion last year,” he said.

“This gives us a real GDP growth rate of 5.5% for quarter-three of 2025. Growth is still positive, but slower than the same period last year,” he added.

Non-oil GDP rose 6.8 percent, demonstrating continued resilience of activities outside the petroleum sector.

Dr. Iddrisu said the data show that “Ghana continues to rely less on oil and gas to drive its economy”, even though non-oil expansion eased slightly from 7.8 percent a year earlier.

Agriculture was the strongest performer, expanding 8.6 percent on the back of growth in fishing and crops. The sector accounted for roughly 30 percent of the total expansion.

“Even with its modest share of the economy, agriculture’s contribution to growth was outsized,” Dr. Iddrisu said, adding that the improvement supports food supply conditions and household purchasing power.

Services, which make up nearly 40 percent of GDP, rose 7.6 percent and contributed almost 60 percent of the quarter’s total growth. ICT expanded 17 percent, with trade, transport and education also recording gains.

The Government Statistician said ICT, crops, transport & storage, manufacturing & education together accounted for about 86 percent of total GDP growth.

Industry grew 0.8 percent as an 18.2 percent contraction in oil and gas offset gains in manufacturing. Dr. Idrissu said the extractive sector’s downturn “dragged the entire industry sector down”, given industry’s 32.1 percent share of the economy.

He noted that stabilising industrial output, particularly oil and gas, will be important to sustain momentum into 2026.

High-frequency data

The Statistical Service also released updated high-frequency data, with the monthly indicator of economic growth rising 5.3 percent in September. The July–September readings align with the quarterly performance.

Dr. Iddrisu said the tool “provides early detection of economic turning points” and will be updated as more administrative data arrive.

The Bank of Ghana (BoG) recorded similar positive signals. At its latest Monetary Policy Committee meeting, Governor Dr. Johnson Pandit Asiama said the Composite Index of Economic Activity (CIEA) rose 9.6 percent by end-September, compared with 2.9 percent a year earlier.

He said industrial production, trade, private-sector credit and consumption drove the increase.

“The confidence surveys reflected continued optimism on current and future economic conditions,” Dr. Asiama said.

He added that the Purchasing Managers’ Index improved due to new orders, indicating stronger underlying activity.

With inflation on a steady decline and the buildup of reserves supporting the currency, the MPC lowered the policy rate by 350 basis points to 18 percent.

At the meeting, Dr. Asiama said the prevailing high real rates “provide scope to ease policy to further boost the growth recovery efforts”, though the Bank will monitor risks to the outlook.

Consequently, Dr. Iddrisu encouraged households to rebuild savings as food conditions improve and urged businesses to shift investment toward ICT, trade, transport and manufacturing.

He further stated that government should stabilise the oil and gas sector while reinforcing high-growth sectors to “keep the economy’s momentum strong”.

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