Major economic stories in 2021

Accra, Dec. 08, GNA- Economic activities in the year 2021 have been impressive after a near shutdown in 2020 due to the impact of COVID-19.

As the year grinds to an end, the Ghana News Agency looks at some major economic stories that made the headlines.

GHANA -UK AGREEMENT

Ghana and the United Kingdom reaching a consensus on the main elements of a new trade agreement is one of the major economic stories recorded in 2021.

The Agreement is to provide duty free and quota free access for Ghana and the same special tariff reductions for British exporters as provided by the arrangement, currently in force.

Mr Alan Kyerematen, Minister of Trade and Industry and Madam Liz Truss, United Kingdom Secretary of State for International Trade, reached the consensus on behalf of their respective countries.

AfCFTA FUNCTIONS TRANSFERRED TO GHANA

The African Union has transferred all functions related to the African Continental Free Trade Area (AfCFTA) Agreement from Addis Ababa, Ethiopia, to Accra, Ghana.

The decision, by the 13th Extraordinary Session of the Heads of State and Governments, positions Ghana as a gateway to trade and investment in Africa.

GHANA TRADE UNDER AFCFTA AGREEMENT

President Nana Addo Dankwa Akufo-Addo officially signalled the beginning of Ghana’s trading relationship with other African countries under AfCFTA agreement.

This means that Ghanaian entrepreneurs and manufacturers could start trading and exporting goods to countries that had signed and ratified the agreement, which took off on January 1, 2021.

AFREXIMBANK AND AFCFTA IMPLEMENTATION

AfCFTA Secretariat with support from the African Export-Import Bank (Afreximbank) will introduce mechanisms for supporting trade under the agreement.

One of such mechanisms is the Pan-African Payment and Settlement
Platform.

MOBILE MONEY OUTSTRIPS CHEQUE TRANSACTIONS

In the first four months of 2021, the usage of mobile money in non-cash retail payments overtook the traditional cheque transactions in the country.

TOYOTA, SUZUKI ASSEMBLY PLANT

President Nana Addo Dankwa Akufo-Addo in June commissioned a Toyota and Suziki vehicle assembly plant in Ghana.

GHANA EU GRANT

The European Union (EU), through the French Development Agency, has approved a €9.7-million euro grant for the Ghana Grid Company (GRIDCo) to boost infrastructure works on the interconnection line between Ghana and Burkina Faso.

A joint press statement said the grant was expected to increase electricity access in Northern Ghana and exporting capacity to the sub-region, especially Burkina Faso.

GOVERNMENT TAKES OVER AIRTELTIGO

The government of Ghana signed an agreement for the transfer of ownership of telecommunications company AirtelTigo, a joint venture between Bharti Airtel and telecom operator Millicom International Cellular SA (TIGO), which jointly operated in the country.

COCOA PRODUCTION HITS RECORD HIGH

Ghana has set a new cocoa production record with 1.033 million tonnes of beans for 2020/2021 season

PRESIDENT SONA

President Nana Addo Dankwa Akufo-Addo says the establishment of the National Development Bank, under the Ghana CARES programme, is to provide support to businesses in Ghana.

He said the government expected a boost in economic activities, which were already picking up, following the ongoing vaccination exercise and the easing of restrictions instituted to curb the effects of COVID-19 for rapid economic growth.

2021 MID-YEAR BUDGET STATEMENT

The Government, through the Ministry of Finance, presented the 2021 Mid-year review of the budget statement to Parliament in accordance with Section 28 of the Public Financial Management Act, 2016 (Act 921).

Under the Act, the Minister for Finance is expected to present the Mid-year Budget Review to Parliament not later than 31st July of each financial year.

PARLIAMENT BUDGET
Government, in the 2022 Budget Statement, on Wednesday, announced the scrapping of road tolls across the country.

Finance Minister Ken Ofori Atta, presenting the Budget Statement to Parliament, in Accra, said despite its contribution to expanding the road infrastructure, the tolling points, over the years, “have become unhealthy market centres”, in an apparent reference to exploitation by some collectors at certain booths.

BUDGET ECONOMY

The economy is expected to grow 5.8 per cent in 2022, Finance Minister, Me Ken Ofori-Atta has said.

Presenting the 2022 budget statement and economic policy to the government, Mr Ofori-Atta, said inflation would end the year at eight per cent.

GNA