Economy of Ghana
GHANA’S ECONOMY
2.1.1 Introduction
Ghana is located in the western part of Africa between French-speaking La Côte d'Ivoire, Burkina Faso and Togo in the west, north and east respectively and bordered in the south by the gulf of Guinea. With an estimated population of nearly 24 million of which 70 percent live in rural areas, Ghana covers an area of 238,537 square kilometres with a population density standing at 88/sq. km. (247/sq. mi.) and a population growth rate of 1.9 percent as at 2009 (GSS, 2011). Ghana in 1957 became the first sub-Saharan country in colonial Africa to gain its independence from British colonial rule. The country has enjoyed a stable democracy since 1992, and is considered a regional model for political and economic reform (World Bank, 2009). The National Democratic Congress (NDC) led by President John Attah-Mills which won power at the 2008 elections is currently the ruling government.
2.1.2 Structure and Characteristics of Ghana’s Economy
The economies of most developing countries were integrated into the international trade system during European colonization, with export of primary products and import of manufactures constituting significant development activities of colonial territories (Addo & Marshall, 2000). The Ghanaian economy, like most post-independence economies, has not significantly changed from her colonial orientation. Agriculture remains the mainstay of the economy, accounting for about 36 percent of GDP, and 60 percent of employment of mainly small landholders (ISSER, 2009). Table 2.1 shows sectoral contributions to national output from 2000 to 2008, reflecting the historical dominance of the Agricultural sector.
Table 2.1 Sectoral Contributions to National Output (Percentages) from 2001 - 2008
|Year |2001 |2002 |2003 |2004 |2005 |2006 |
|Cocoa % |908.4 |1187.4
2.1.1 Introduction
Ghana is located in the western part of Africa between French-speaking La Côte d'Ivoire, Burkina Faso and Togo in the west, north and east respectively and bordered in the south by the gulf of Guinea. With an estimated population of nearly 24 million of which 70 percent live in rural areas, Ghana covers an area of 238,537 square kilometres with a population density standing at 88/sq. km. (247/sq. mi.) and a population growth rate of 1.9 percent as at 2009 (GSS, 2011). Ghana in 1957 became the first sub-Saharan country in colonial Africa to gain its independence from British colonial rule. The country has enjoyed a stable democracy since 1992, and is considered a regional model for political and economic reform (World Bank, 2009). The National Democratic Congress (NDC) led by President John Attah-Mills which won power at the 2008 elections is currently the ruling government.
2.1.2 Structure and Characteristics of Ghana’s Economy
The economies of most developing countries were integrated into the international trade system during European colonization, with export of primary products and import of manufactures constituting significant development activities of colonial territories (Addo & Marshall, 2000). The Ghanaian economy, like most post-independence economies, has not significantly changed from her colonial orientation. Agriculture remains the mainstay of the economy, accounting for about 36 percent of GDP, and 60 percent of employment of mainly small landholders (ISSER, 2009). Table 2.1 shows sectoral contributions to national output from 2000 to 2008, reflecting the historical dominance of the Agricultural sector.
Table 2.1 Sectoral Contributions to National Output (Percentages) from 2001 - 2008
|Year |2001 |2002 |2003 |2004 |2005 |2006 |
|Cocoa % |908.4 |1187.4